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Some Economic Aspects of Multiple Exchange Rates

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  • E. M Bernstein

Abstract

One function of exchange rates is to assist in bringing a country's international payments into a tenable balance, one in which receipts on current and ordinary capital account are adequate to meet payments on current and ordinary capital account. With satisfactory exchange rates, a country ought not to find it neceslary, when the world economic environment is reasonably favorable, to impose restrictions, to deplete its monetary reserves, or to seek extraordinary financing to meet a balance of payments deficit.

Suggested Citation

  • E. M Bernstein, 1953. "Some Economic Aspects of Multiple Exchange Rates," Economics and Finance in Indonesia, Faculty of Economics and Business, University of Indonesia, pages 219-227.
    • Handle: RePEc:lpe:efijnl:195329
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