The International Monetary Fund on Wednesday warned against governments trying t...
WASHINGTON - The International Monetary Fund on Wednesday warned against governments trying to weaken their currencies through monetary easing or market interventions, arguing in a blog post that this would hurt the functioning of the international monetary system and make all nations worse off.
“One should not put too much stock in the view that easing monetary policy can weaken a country’s currency enough to bring a lasting improvement in its trade balance through expenditure switching. Monetary policy alone is unlikely to induce the large and persistent devaluations that are needed to bring that result,” IMF chief economist Gita Gopinath and IMF researchers Gustavo Adler and Luis Cubeddu said in the post.
The IMF researchers said that one problem for the limitations of impacts of U.S. currency fluctuations on the trade balance is that many U.S. imports from China and other countries are invoiced in dollars, not local currencies. The U.S. Treasury has declared China a currency manipulator and requested that the IMF work with it to “correct” the situation.
Brasil Últimas Notícias, Brasil Manchetes
Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.
IMF warns that currency devaluations will not fix a country's economic problemsSenior economists at the International Monetary Fund (IMF) have warned countries against relying too heavily on monetary policy easing, and argued that currencies are 'neither the hammer nor the nail' in efforts to reinvigorate economies.
Consulte Mais informação »
Ray Romano to Host IMF Comedy Celebration Headlined by Patton Oswalt, Demetri Martin and MoreThe October event will also feature sets by Kevin Nealon, Mary Lynn Rajskub and Amanda Seales.
Consulte Mais informação »
The IMF is sending a team to Argentina following the surprising election result that plunged its currency and crashed its stock market'We are closely following recent developments in Argentina and are in ongoing dialogue with the authorities,' said an IMF spokesperson.
Consulte Mais informação »
IMF warns that currency devaluations will not fix a country's economic problemsSenior economists at the International Monetary Fund (IMF) have warned countries against relying too heavily on monetary policy easing, and argued that currencies are 'neither the hammer nor the nail' in efforts to reinvigorate economies.
Consulte Mais informação »
Central banks in Asia are cutting rates to prop up their economies — but that may not be enough'I think (rate cuts) will help, but whether they're going to be sufficient to counter the negative trade pressures and global growth slowdown and impact is debatable,' one strategist told CNBC.
Consulte Mais informação »
5 things to know before the stock market opens TuesdayDow set to drop; White House denies payroll tax cut report; China tweaks interest rates; Home Depot worries about trade war; Beyond Meat gets an upgrade
Consulte Mais informação »