Towards the disintegration of post 1971 monetary system? Developing countries and the impact of war sanctions on dollar hegemony
DOI:
https://doi.org/10.13133/2037-3651/17753Keywords:
Russia, currency crisis, Intarnational Monetary SystemAbstract
The detrimental effects of post 1971 financial and trade liberalization on the emerging markets consisted of a long series of financial turmoil and sovereign debt crises. Since the early 2000s, the introduction of macro-prudential measures matched with the accumulation of a war chest of international reserves has acted as a stabilizing factor on the international monetary system, which reinforced dollar hegemony. However, 2014 sanctions to Russia abruptly changed this scenario, implying a reconsideration by the emerging economies which might derive in a fragmentation of the current international monetary system, in response of the further sanctions resulting from the Russian-Ukrainian war.
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