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By Jon Fernquest

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[Thai Economics Library | Archives (for history)]
November 11, 2008

capitalcontrols

Capital controls

capital controls (noun) - restrictions on investment money (capital flows) going into and coming out of the country, to prevent sudden inflows and outflows and encourage long-term investment, a Tobin tax is one way to encourage long-term investment 

impose capital controls
lift capital controls
abolish capital controls
abolish capital controls and open the financial sector of the country
steps to loosen capital controls

a system of capital controls
some form of capital controls may therefore be preferable to instability
capital controls to protect poor nations from in and out surges in capital
advocate capital controls to avoid entanglement with foreign creditors
capital controls to prevent speculative inflows of  hot money from overseas investors

proposed capital controls as a way for Asian countries to gain breathing space in order to repair their economies
the global economic crisis has intensified calls for capital controls

capital controls are an invitation for evasion, corruption and the abuse of power

discourage capital controls
gradually the entire system of capital controls, fixed currency rates, and other international regulations faded away
curb speculation without incurring all the harmful side effects of capital controls

restore capital controls
capital controls gradually disappeared

legitimate capital controls
discouragement of capital controls
exchange and capital controls
the obsolescence of capital controls?
a code of conduct for the use of capital controls
capital controls have becoem a permanent feature of the economic system

relaxation of border and capital controls and the use of a common currency
behind a protective wall of tariffs and capital controls

the law required the elimination of capital controls
resorting to outright protectionism and capital controls

the exchange-rate system relies too heavily on price and capital controls

the view that all capital controls should be discouraged
impose a modest form of capital controls
maintain capital controls
capital controls would give the Government the chance to repair the economy
capital controls are like heroin said the currency trader

liberating exchange markets and removing capital controls

capital controls are a logical extension of his past practice of blaming foreign currency speculators for all their problems
the role that lifting first world capital controls and globalizing financial markets have been playing in driving free-market policies

countries without capital controls
capital controls used successfully in the first half of the 1990s to deter short-term financial inflows
imposed capital controls that barred foreign investors from taking their money out of the country for a one-year
the Tobin tax on financial transactions and moderate Chilean-style capital controls
the trend toward ending capital controls accelerated in the 1990s
discontinued trading in its currency, the ringgit, and imposed sweeping capital controls on its markets

there is no consensus on whether capital controls on short-term inflows should be encouraged in the future
hard to implement capital controls
the distortions caused by capital controls


Example sentences:

* The country might default on their foreign debts and impose capital controls on their currency. Say goodbye to globalization.

* Malaysia discontinued trading in its currency, the ringgit, and imposed sweeping capital controls on its markets. Among the provisions: currency held outside Malaysia will become worthless.

Restore some capital controls to protect poorer nations from the current hysteria of global capital -the in-and-out surges of capital.

* Japan exploded in the 1980s is that the Japanese government lifted many of its capital controls with the passage of the Foreign Exchange and Foreign Trade Control Law in December,

* It has become an article of faith that capital controls should be abolished and the financial markets of individual countries, including banking, opened.

* Taiwan imposed a modest form of capital controls.

* China maintains capital controls and a nonconvertible currency.

* Some form of capital controls may therefore be preferable to instability even if it would not constitute good policy in

* There are subtle ways in which currency speculation can be discouraged that fall well short of capital controls. Banks can be required to report on the currency positions they hold.

* It should be possible to curb speculation without incurring all the harmful side effects of capital controls.

* The market was reborn in the late sixties, and gradually the entire system of capital controls, fixed currency rates, and other international regulations faded away.

* Transportation and communication costs have plunged; this, combined with reduced governmental capital controls, has resulted in increased mobility and globalization of production and finance.

* He continued to defend the right of the state to impose capital controls as and when it perceived the need to arise.

* The difficulty of making clear distinctions between illegitimate exchange restrictions and legitimate capital controls soon became apparent.

* The laws represented the most explicit international statement of intent regarding the discouragement of capital controls, it left significant scope for member-states to make exceptions for certain types of capital

* However, it also concluded that although capital controls could not be forsworn, they should not become permanent features of any new system. 

* The government seeks to draft a new code of conduct for the use of capital controls, and that the code be monitored by an international agency such as the IMF. 

* A weaker regime might be said to develop when exchange and capital controls (both direct and indirect) are deliberately abolished and explicit acknowledgement of the propriety

* "Capital controls are like heroin,"  said Mac Overton, a fund manager at the large multi-national bank.

* Capital controls are an invitation for evasion, corruption and the abuse of power.

* The view that all capital controls should be discouraged later became even more prominent in the U.S. position, a development

* One benefit of capital controls is that they enable governments to pursue economic policies -- such as lowering interest rates

* The appeal of capital controls is that they enable governments to pursue economic policies -- such as lowering interest rates.

* In an article in the last issue of Fortune magazine, he proposed capital controls as a way for Asian countries to gain breathing space in order to repair their economies

* In Malaysia, officials said capital controls would give the Government the chance to repair the economy. They said such repairs

* Prime Minister Mahathir's capital controls are a logical extension of his past practice of blaming foreign currency speculators for all their problems.

* Capital controls might have been positive if Malaysia used the opportunity to buy time for itself.

* Liberating exchange markets and removing capital controls would, in contrast, allow fluctuating nominal rates to stabilize real exchange rates.

* Most shortchange the role that lifting first world capital controls and globalizing financial markets have been playing in driving free-market policies.

* And although the global economic crisis has intensified calls for capital controls, some of the nations hardest hit in Asia -- such as Japan, South Korea are resisting the trend.

* There is the risk of a quick exit by short-term capital, but there is no consensus on whether capital controls on short-term inflows should be encouraged in the future

* Capital controls are hard to implement and which create their own distortions. 

* Short-term foreign debt is not the only source of risk. In countries without capital controls, like most of Southeast Asia and Latin America, local residents can convert any amount of currency, anytime. 

* The capital controls used successfully in the first half of the 1990s to deter short-term financial inflows.

* In mid-1998, the Malaysian government imposed capital controls that barred foreign investors from taking their money out of the country for a one-year.

* There are selective mechanisms (such as the Tobin tax on financial transactions and moderate Chilean-style capital controls) to reduce the volatility of international financial markets and the region's dependency on foreign capital.

* But as the trend toward ending capital controls accelerated in the 1990s, some experts began to grow uneasy.

* In the European Union, relaxation of border and capital controls and the use of a common currency are making it still easier for companies to

* Locally owned industry was developed through government investment, behind a protective wall of tariffs and capital controls.

* The Single European Act of 1990 required elimination of capital controls (save for emergency controls for periods of no more than six months) by

* Cutting interest rates, subsidizing exports, or resorting to outright protectionism and capital controls.

* There is nothing impractical about a nominally pegged exchange rate in the context of capital controls and reasonably flexible domestic prices.

* On September 1, 1998, Mahathir announced that the country was imposing capital controls, fixing the currency at 3.80 ringgit per U.S. dollar. The next day,

* The exchange-rate system relies too heavily on price and capital controls.

* Capital controls prevent substantial speculative inflows of  hot money from overseas investors.

* Caution and experimentation are the watchwords. Recent steps to loosen capital controls include allowing Chinese companies to obtain foreign exchange to buy foreign assets abroad, leading

* Monetary nationalists advocate capital controls to avoid entanglement with foreign creditors.

* Currencies that remain unwanted by foreigners will continue to experiment with crisis-prevention policies, imposing capital controls and building up war chests of dollar reserves.




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