Juan Antonio Morales2026-03-222026-03-22199410.1007/978-1-349-23458-5_8https://doi.org/10.1007/978-1-349-23458-5_8https://andeanlibrary.org/handle/123456789/81114Citaciones: 3Numerous inflation stabilization programmes are based on exchange-rate stabilization. Under most circumstances the stock of net foreign reserves (NFR) plays a crucial role in the credibility and success of exchange-rate stabilization, as has been stressed by Dornbusch (1991). A rapid depletion of NFR caused by an exogenous shock may severely imperil an otherwise well-designed programme.enCredibilityExchange rateShock (circulatory)Vulnerability (computing)Monetary economicsInflation (cosmology)EconomicsForeign exchangeStock (firearms)International economicsbook-chapter