@unpublished {66546,
	title = {The Political Economy of Exchange Rate Regimes In Transition Economies},
	year = {2008},
	note = {},
	month = {Jun 1, 2008},
	type = { },
	abstract = {We show that political economy factors play an important role in shaping the exchange rate policies of transition economies. We argue, among other things, that tradables producers prefer a floating rate to allow active exchange rate policy to affect their competitiveness, while internationally exposed sectors prefer a fixed rate to provide currency stability. We carry out a quantitative analysis of the de facto exchange rate behavior of 21 countries over the period 1992-2004. We find support for our arguments, along with some counter-intuitive results, for example associating democracy with a pegged currency and trade concentration with a floating currency. Our empirical results serve as the basis for predictions regarding the adoption of the euro in the EU accession countries and other countries in Central and Eastern Europe.},
	author = {Frieden, Jeffry and Leblang, David}
}
