The Japanese Yen as an International Currency

The Japanese Yen as an International Currency PDF

Author: Mr.George S. Tavlas

Publisher: International Monetary Fund

Published: 1991-01-01

Total Pages: 61

ISBN-13: 1451930992

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The role of the Japanese yen as an international currency is assessed. It is found that the determinants of international-currency use imply some increase for the yen’s use in international finance; however, the implications for the yen’s use in international trade are mixed. It is also shown that, despite Japan’s emergence as the world’s largest net creditor nation, Japan’s capital outflows have not significantly facilitated the yen’s internationalization. Data are presented showing that, although the yen’s use as an international currency has increased, it is still rather modest. Wider use of the yen as a regional currency in Asia has occurred, though a “yen-zone” does not appear to be emerging.

Japan in the International Financial System

Japan in the International Financial System PDF

Author: T. Iwami

Publisher: Springer

Published: 1995-10-27

Total Pages: 186

ISBN-13: 0230372635

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Japan experienced a remarkable growth in international finance, through a series of liberalization measures in the 1980s. However, her position in the global financial system is still limited, as the reserve currency share of yen illustrates. Why does such a contrast exist? Historical comparison with Britain and the United States as well as extensive data provide a key to answer the question.

Japan's Restrictive System of Trade and Payments

Japan's Restrictive System of Trade and Payments PDF

Author: Shinji Takagi

Publisher: International Monetary Fund

Published: 1997-09

Total Pages: 46

ISBN-13:

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This paper reviews the experience of Japan with a restrictive trade and payments system during the early part of the post-World War II period, as a case study of how the fixed exchange rate system was managed in practice under the Bretton Woods system. Specifically, it presents a summary of how Japan's system of foreign exchange and trade control operated in the early 1950s, how effectively it was used as a tool of macroeconomic policy, and how it was liberalized from the late 1950s into the early 1960s.

Japan’s Foreign Assets and Liabilities: Implications for the External Accounts

Japan’s Foreign Assets and Liabilities: Implications for the External Accounts PDF

Author: Mariana Colacelli

Publisher: International Monetary Fund

Published: 2021-02-05

Total Pages: 40

ISBN-13: 1513568272

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The composition of Japan’s current account balance has changed over time, with an increasing income balance primarily reflecting a growing net foreign asset position and higher corporate saving. A comparison of Japan’s income balance with peer countries highlights: (i) relatively high yields on FDI assets, and (ii) very low FDI liabilities in Japan. Panel estimation is used to derive separate exchange rate elasticities for income credit and debit, with novel accounting that disentangles the mechanical from the economic response to exchange rate fluctuations. Despite the changing composition of Japan’s current account balance, its response to exchange rate movements still operates mostly through the traditional trade channel, with a small but reinforcing contribution from the income balance.