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Last week I did a thread, in Spanish, on a presentation by @HyunSongShin at the #YSILatinAmericanConvening in Buenos Aires. Here goes the English translation. Some things are already known to people who follow Shin's work. So be it. @MacroPru
A) Flexible exchange rates are not shock absorbers, they do not equilibrate the current account or BoP, particularly in a world with global value chains. FX intervention is ok, and is fruitful (when it is applied well in a competent fashion, unlike the Argentine Central Bank).
B) One needs to think of capital controls as another tool in broader policy mix, that includes macroprudential policies. But they are useful, with a righteous place in that toolbox.
