Dollarization of the Banking System : Good or Bad?

De Nicolo, Gianni ; Honohan, Patrick ; Ize, Alain

World Bank, Washington, DC

关键词: ACCOUNTING;    ACCOUNTING STANDARDS;    ACTUAL COST;    ASSET SUBSTITUTION;    BALANCE SHEETS;   

DOI  :  10.1596/1813-9450-3116
RP-ID  :  WPS3116

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

De Nicol� Honohan, and Ize assess thebenefits and risks associated with dollarization of thebanking system. The authors provide novel empirical evidenceon the determinants of dollarization, its role in promotingfinancial development, and on whether dollarization isassociated with financial instability. They find that: Thecredibility of macroeconomic policy and the quality ofinstitutions are both key determinants of cross-countryvariations in dollarization. Dollarization is likely topromote financial deepening only in a high inflationenvironment. Financial instability is likely higher indollarized economies. The authors discuss the implicationsof these findings for financial sector and monetary policies.