TY - BOOK ID - 133744293 TI - Are Price-Based Capital Account Regulations Effective in Developing Countries ? PY - 2007 PB - Washington, D.C., The World Bank, DB - UniCat KW - Asset Price KW - Balance Sheets KW - Bank Policy KW - Banks and Banking Reform KW - Boom-Bust Cycle KW - Capital Account KW - Capital Flows KW - Capital Inflows KW - Currencies and Exchange Rates KW - Debt Markets KW - Developing Countries KW - Economic Theory and Research KW - Emerging Economies KW - Emerging Markets KW - Exchange KW - Finance and Financial Sector Development KW - Financial Liberalization KW - Interest KW - International Capital KW - International Capital Markets KW - International Economics & Trade KW - Liquidity KW - Macroeconomic Management KW - Macroeconomic Volatility KW - Macroeconomics and Economic Growth KW - Monetary Policy KW - Moral Hazard KW - Private Sector Development KW - Real Exchange Rate KW - Short-Term Capital UR - https://www.unicat.be/uniCat?func=search&query=sysid:133744293 AB - The author evaluates the effectiveness of policy measures adopted by Chile and Colombia, aiming to mitigate the deleterious effects of pro-cyclical capital flows. In the case of Chile, according to his Generalized Method of Moments (GMM) analysis, capital controls succeeded in reducing net short-term capital flows but did not affect long-term flows. As far as Colombia is concerned, the regulations were capable of affecting total flows and also long-term ones. In addition, the co-integration models indicate that the regulations did not have a direct effect on the real exchange rate in the Chilean case. Nonetheless, the model used for Colombia did detect a direct impact of the capital controls on the real exchange rate. Therefore, the results do not seem to support the idea that those regulations were easily evaded. ER -