Crawling Band as an Exchange Rate Regime: Lessons from Chile, Colombia and Israel, The

JOHN R. WILLIAMSON

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Global Financial Crisis and Policies Monetary Policy and Economic Impact Economic, financial, and policy analysis

Abstract

This study examines in detail the experiences of three countries that have in recent years operated exchange rate systems of "crawling bands, " similar in spirit to the target zones that the author has recommended in the past. Williamson compares the succcessful experiences of 3 countries that have operated crawling bands with 15 similar countries and concludes that the crawling band exchange-rate policy has been an important element in their success. The study includes a manual for managing crawling bands.

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