Regulating capital flows in emerging markets: The IMF and the global financial crisis

Kevin P. Gallagher, Yuan Tian
2017 Review of Development Finance  
2017. "Regulating capital flows in emerging markets: The IMF and the global financial crisis." Review of Development Finance, Volume 7, Issue 2, pp. 95 -106. https://hdl.handle.net/2144/27131 Boston University Please cite this article in press as: Gallagher, K.P., Tian, Y., Regulating capital flows in emerging markets: The IMF and the global financial crisis. Rev. Dev. Finance (2017), http://dx. Abstract In the wake of the financial crisis the International Monetary Fund (IMF) began to publicly
more » ... ) began to publicly express support for what have traditionally been referred to as 'capital controls'. This paper empirically examines the extent to which the change in IMF discourse on these matters has resulted in significant changes in actual IMF policy advice. By creating and analyzing a database of IMF Article IV reports, we examine whether the financial crisis had an independent impact on IMF support for capital controls. We find that the IMF's level of support for capital controls has increased as a result of the crisis and as the vulnerabilities associated with capital flows accentuate. Please cite this article in press as: Gallagher, K.P., Tian, Y., Regulating capital flows in emerging markets: The IMF and the global financial crisis. Rev. Dev. Finance (2017), http://dx.
doi:10.1016/j.rdf.2017.05.002 fatcat:yntjnprwx5dafknrjt454u4xym