The objective of this paper is to examine the determination of interest rates, inflation and nominal exchange rates in Indonesia, and investigate the role of monetary policy in affecting these variables. In the short term, monetary policy can be used to protect domestic interest rates from the destabilizing influence of speculative capital flight. In the long run, monetary policy can help lower domestic nominal interest rates by maintaining low inflation...
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INFORMATION
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1990/02/28
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Document de travail de recherche sur les politiques
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WPS349
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1
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1
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2010/07/01
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How Indonesia's monetary policy affects key variables
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impact on revenues
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