SINGAPORE'S EXCHANGE RATE POLICY: EMPIRICAL FOUNDATIONS, PAST PERFORMANCE AND OUTLOOK
2002 ◽
Vol 47
(01)
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pp. 173-182
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Keyword(s):
The Past
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Singapore's exchange rate policy in practice is a policy mix somewhat more complicated than the simple "strong Singapore dollar policy". This paper discusses the theoretical and empirical foundations of this policy mix. It then proceeds to evaluate the past performance of Singapore's exchange rate policy. By highlighting a drastic decline in foreign inflation towards a negligible level nowadays, the paper recommends a far more moderate appreciation of Singapore dollar than those in the past.
Keyword(s):