Can I read Stochastic Optimal Control, International Finance, and Debt Crises on EtoBox?

Stochastic Optimal Control, International Finance, and Debt Crises by Jerome L. Stein is a book available to read on EtoBox.

What is Stochastic Optimal Control, International Finance, and Debt Crises about?

This book focuses on the interaction between equilibrium real exchange rates, optimal external debt, endogenous optimal growth and current account balances, in a world of uncertainty. The theoretical parts result from interdisciplinary research between economics and applied mathematics. From the economic theory and the mathematics of stochastic optimal control the author derives benchmarks for the optimal debt and equilibrium real exchange rate in an environment where both the return on capital and the real rate of interest are stochastic variables. The theoretically derived equilibrium real exchange rate - the'natural real exchange rate'NATREX - is where the real exchange rate is heading. These benchmarks are applied to answer the following questions. • What is a theoretically based empirical measure of a'misaligned'exchange rate that increases the probability of a significant depreciation or a currency crisis? • What is a theoretically based empirical measure of an'excess'debt that increases the probability of or a debt crisis? • What is the interaction between an excess debt and a misaligned exchange rate? The theory is applied to evaluate the Euro exchange rate, the exchange ra

Author

Jerome L. Stein

Publisher

OUP Oxford

Published

2006

Language

EN

ISBN

9780191603501

Subjects

Economics, Language Learning, Finance