Capital Flows and Foreign Exchange Intervention
构建了一个国际金融市场不完善的小型开放经济模型，研究资本流动冲击的影响，推导最优外汇干预政策及其与货币政策的互动，并用瑞士数据量化干预的最优规模。
I consider a small open economy model where international financial markets are imperfect and the exchange rate is determined by capital flows. I use this framework to study the effects of portfolio flow shocks, derive the optimal foreign exchange intervention policy, and characterize its interaction with monetary policy. I derive the optimal intervention rule in closed form as a function of three implicit targets. Finally, using Swiss data, I estimate the model to quantify the inefficiencies generated by capital flow shocks and the optimal size of the intervention.