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A Mexican currency board?

Author

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  • Owen F. Humpage

Abstract

A look at the pros and cons of replacing Mexico's central bank with a currency board, explaining that although a currency board would eliminate monetary policy discretion and help to restore faith in the peso's purchasing power, it would also prevent exchange-rate changes from aiding economic adjustments.

Suggested Citation

  • Owen F. Humpage, 1995. "A Mexican currency board?," Economic Commentary, Federal Reserve Bank of Cleveland, issue Mar.
    • Handle: RePEc:fip:fedcec:y:1995:i:mar15
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    Keywords

    Currency boards; Mexico;

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