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Title: |
Effects of Exchange Controls on Black Market
Exchange Rate in a Less Developed Country |
| Author: |
Gyimah-Brempong,
Kwabena |
| Author
Affiliation: |
Wright State U |
| Source: |
International Economic Journal, Spring 1991, v. 5, no. 1, pp. 63-78 |
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Publication Date: |
Spring 1991 |
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Abstract: |
A reduced form smuggling model is used to
estimate the effects of official exchange control policies on black
market exchange rate in Ghana between 1972 and 1986. It is found that an
appreciation of official exchange rate or an increase in government
policing efforts depreciates the domestic currency on the black market.
Recent exchange policy reforms, however, seem to have changed the
structure of the relationship between official exchange rate and the
black market rate. |
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