Reactivating the dynamism in Mercosur: A monetary approach
Considering the monetary approach, this article analyzes the feasibility of creating a new currency in the Southern Common Market (MERCOSUR) as an option to recover the dynamism observed in the previous decade. The hypothesis suggests that the creation of a new currency is desirable if it is possibl...
- Autores:
-
Mora, José
Hurtado Briceño, Alberto José
Zerpa de Hurtado, Sadcidi
- Tipo de recurso:
- Article of investigation
- Fecha de publicación:
- 2020
- Institución:
- Universidad Cooperativa de Colombia
- Repositorio:
- Repositorio UCC
- Idioma:
- OAI Identifier:
- oai:repository.ucc.edu.co:20.500.12494/33728
- Acceso en línea:
- https://hdl.handle.net/20.500.12494/33728
- Palabra clave:
- Integración monetaria
Política monetaria
Tipo de cambio
Mercosur
Monetary integration
Monetary policy
Exchange rate
Mercosur
- Rights
- openAccess
- License
- NINGUNA
| Summary: | Considering the monetary approach, this article analyzes the feasibility of creating a new currency in the Southern Common Market (MERCOSUR) as an option to recover the dynamism observed in the previous decade. The hypothesis suggests that the creation of a new currency is desirable if it is possible to increase the growth rate of real gross domestic product (GDP) and to reduce price volatility. Empirical evidence suggests that the alternative of creating and implementing a new currency in the bloc is desirable and highly feasible due to the positive correlations observed among their countries’ business cycles and domestic currency depreciation rates, as along with the possibility of creating a central bank responsible for the common monetary policy with low inflationary bias. |
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