An Empirical Analysis of the Relationship Between Foreign Exchange Reserves and Economic Stability Indicators
Posted: Nov 18, 2023
Abstract
The management of foreign exchange reserves represents a cornerstone of macroeconomic stability in an increasingly globalized economic landscape. Traditional economic theory posits that reserves serve as a buffer against external shocks, facilitate international trade, and maintain confidence in national currencies. However, the precise mechanisms through which reserves influence economic stability indicators remain inadequately understood, with existing literature often presenting contradictory findings regarding optimal reserve levels and their effectiveness during economic crises. This research addresses this critical gap by employing innovative analytical techniques to unravel the complex, non-linear relationships between reserve accumulation and multiple dimensions of economic stability.
Downloads: 60
Abstract Views: 1891
Rank: 210366