Did dollarization help Ecuador?

Author:

Cachanosky Nicolás1,Ocampo Emilio2,Hernández Karla C.1,Ramseur John3

Affiliation:

1. Center for Free Enterprise The University of Texas at El Paso El Paso Texas USA

2. Centro de Estudios de Historia Económica Universidad del CEMA Ciudad de Buenos Aires Argentina

3. Department of Economics Metropolitan State University of Denver Denver Colorado USA

Abstract

AbstractThis paper studies the impact of dollarization on the evolution of GDP per capita in Ecuador using synthetic control analysis (SCA). The results suggest a significant likelihood of a positive impact of dollarization. These results are relevant for countries with a history of high, persistent, and volatile inflation considering dollarization as a currency regime.

Publisher

Wiley

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