What is an Adjustable Peg? an exchange rate policy where a country pegs its currency to a major currency, like the US dollars, and can readjust it to reflect a change in market condition. An ...

China's conciliatory call for exchange rate flexibility in the face of US Secretary Treasury John Snow's visit has raised a debate on how successful a new regime would be. Central Bank Governor Zhou ...

All exchange rate regimes create difficulties. But, painful experience has now reinforced the theoretical presumption against adjustable pegs in a world of capital account convertibility.

In recent years developing and transition countries have tended to move away from adjustable-peg regimes to more flexible regimes or toward hard pegs. The literature has identified this phenomenon as ...