Professor
Department of
College Park, MD 20742
Phone: (301) 405-7371
Fax: (301) 405-3542
E-mail: vegh@econ.bsos.umd.edu
WWW: http://www.econ.umd.edu/~vegh
(Updated: March 2009)
B.A.-Economics. American
University (Washington, D.C.), 1983; Universidad de la Republica (Uruguay),
1979-82
Departmental Teaching Award (University of Maryland, Fall 2007) [for excellence in graduate teaching].
Departmental Teaching Award (University of Maryland, Fall 2006) [for excellence in graduate teaching].
Departmental Teaching Award (University of Maryland, Spring 2006) [for excellence in graduate teaching].
Latin American and Caribbean Economic Asociation (LACEA), Treasurer, 2002-2004.
Warren C. Scoville Distinguished Teaching Award (UCLA, Spring 2001) [for excellence in undergraduate teaching].
Research Associate, NBER, since 1998.
Executive Committee Member (elected), Latin American and Caribbean Economic Asociation (LACEA), 1998-2001.
Chair, Program in Comparative and Topical Studies, UCLA Latin American Center, 1997-2003.
Academic Senate Research Grant, UCLA, 1997-2004.
H.B. Earhart Fellow (Earhart Foundation), sponsored by Prof. Robert E. Lucas Jr., 1984-85, 1985-86.
Dean's List of Honor (
Co-editor, Journal of Development Economics (July 2000 – July 2003).
Co-editor, Journal of International Economics (January 1999 - December 2001).
Editorial board, IMF Staff Papers (December 2003-October 2004)
Associate Editor, Economia (journal of LACEA, January 2000-December 2001).
Associate editor, International Tax and Public Finance (January 1999-December 2003).
Associate Editor, Journal of International Economics (January 1997 - December 1998, January 2002-January 2005).
Associate Editor, Revista de Análisis Económico (since June 1995).
Editorial Board, Revista de Ciencias Empresariales y Economia
(published by the Universidad de Montevideo,
Current position: Professor, Department of Economics, University of Maryland (July 2005-present)
o Professor, Department of Economics (July 1998-June 2007); Vice-Chair for Undergraduate Studies (July 2004-June 2005)
o Associate Professor (tenured), Department of Economics (July 1996-June 1998)
o Visiting Associate Professor, Department of Economics (January 1996-June 1996)
Visiting Associate Professor, Department of Economics,
International Monetary Fund,
Visiting Professor, Universidad
del Pacifico (Lima, Peru), August 2005.
Senior Resident Scholar, Research Department, IMF, December
2003-September 2004.
Visiting Scholar, Research Department, IMF, August 2000, December 2001, July-August 2002, December 2002-January 2003.
Visiting Scholar, Office of the First Deputy Managing Director, IMF, December 2001.
Visiting Scholar, Banco de Mexico, November 1997.
Visiting Professor, Universidad del CEMA (
Visiting Scholar, Office of the Chief Economist, Inter-American Development Bank, July 1996, July 1997.
Visiting Scholar, Center for International Economics,
External Project Coordinator, "Fiscal Policy Sustainability in Latin America," project of the Inter-American Development Bank, 1997.
Graduate:
Undergraduate:
“When is it Optimal to Abandon a Fixed Exchange Rate” (with S. Rebelo), Review of Economic Studies (2008), Vol. 75 (2008), pp. 929-955. issued as NBER Working Paper No. 12793 (December 2006).
“Segmented asset markets and optimal exchange rate regimes” (with Amartya Lahiria and Rajesh Singh), Journal of International Economics, Vol. 72 (2007), pp. 1-21 (lead article).
“Optimal exchange rate regimes: Turning Mundell-Fleming’s dictum on its head”, in Carmen Reinhart, Andres Velasco, and Carlos A. Vegh, eds., Money, Crises, and Transition: Essays in Honor of Guillermo Calvo (forthcoming MIT Press, 2007). Issued as NBER Working Paper No. 12684 (November 2006). Serbian version published in (in Serbian) in Panoeconomicus (2007, No. 3), pp. 249-270 (lead article).
“Output costs, balance of payment crises, and interest rate defense of a peg” (with Amartya Lahiri), Economic Journal, Vol. 117 (January 2007), pp. 216-239. Issued as NBER Working Paper No. 11791 (November 2005).
"Tax Base Variability and Procyclical Fiscal Policy in Developing Countries" (with Ernesto Talvi), Journal of Development Economics, Vol. 78 (2005), pp. 156-190. Working paper version issued as NBER Working Paper No. 7499 (January 2000).
“When It Rains It Pours: Procyclical Capital Flows and Macroeconomic Policies,” (with Graciela Kaminsky and Carmen Reinhart), in Kenneth Roggoff and Mark Gertler, editors, NBER Macroeconomics Annual 2004 (lead article). Spanish version published in Revista de Ciencias Empresariales y Economia (Universidad de Montevideo), Vol. 3 (2004), pp. 9-54 (lead article).
“The Unholy Trinity of Financial Contagion” (with G. Kaminsky and C. Reinhart), NBER Working Paper No. 10061 (November 2003). Journal of Economic Perspectives, Vol. 17 (Fall 2003).
"Delaying the Inevitable: Interest Rate Defense and BOP Crises" (with A. Lahiri), Journal of Political Economy, Vol. 111 (April 2003), pp. 404-424. [Longer version issued as NBER Working Paper No. 7734 (June 2000)].
"Modern Hyper- and High Inflation" (with Stanley Fischer and Ratna Sahay), Journal of Economic Literature, Vol. 40 (September 2002), pp. 837-880. [Issued as NBER Working Paper No. 8930 (May 2002) and IMF Working Paper WP/02/197.] Russian version published in Ecowest, Vol. 2 (2002), pp. 195-251.
"What If Alexander Hamilton Had Been Argentinean: A Comparison of the
Early Monetary Experiences of Argentina and the
"Living with the Fear of Floating: An Optimal Policy Perspective" (with Amartya Lahiri), in Sebastian Edwards and Jeff Frankel, eds., Preventing Currency Crises in Emerging Markets (University of Chicago Press, 2002), forthcoming. [Issued as NBER Working Paper No. 8391 (July 2001).]
“Monetary Policy, Interest Rate Rules, and Inflation Targeting: Some Basic Equivalences, in Fernando Lefort and Klaus Schmidt-Hebbel, eds., Indexation, Inflation, and Monetary Policy (Santiago, Chile: Banco Central de Chile, 2002), pp. 151-183. [Issued as NBER Working Paper No. 8684 (December 2001).]
"Inflation Stabilization and BOP Crises in Developing Countries" (with Guillermo A. Calvo), in John Taylor and Michael Woodford, eds., Handbook of Macroeconomics (Volume C; North Holland, 1999), pp. 1531-1614. [Also issued as NBER Working Paper No. 6925, February 1999.]
"Losing Credibility: The Stabilization Blues," (with Pablo E. Guidotti), International Economic Review, Vol. 40 (February 1999), pp. 23-51.
"Inflation Stabilization and the Consumption of Durable Goods" (with Jose De Gregorio and Pablo E. Guidotti), Economic Journal, Vol. 108 (January 1998), pp. 105-131.
"Banks and Macroeconomic Disturbances under Predetermined Exchange Rates" (with Sebastian Edwards), Journal of Monetary Economics, Vol. 40 (November 1997), pp. 239-278. [Also issued as NBER Working Paper No. 5977, March 1997.]
"How
Far Is Eastern Europe from Brussels?," (with
Economics, 1997). [Also issued as IMF Working paper WP/98/53,
1998.]
"From
Transition to Market: Evidence and Growth Prospects," (with Stanley
Fischer and Ratna Sahay), in Salvatore Zechhini, ed., Lessons from the
Economic Transition: Central and
"Disinflation and Interest-Bearing Money" (with Guillermo A. Calvo), Economic Journal, Vol. 106 (November 1996), pp.1546-1563.
"Capital Flows in Central and Eastern Europe: Evidence and Policy Options" (with Guillermo A. Calvo and Ratna Sahay), in Guillermo A. Calvo, Morris Goldstein, and Eduard Hochreiter, eds., Private Capital Flows to Emerging Markets after the Mexican Crisis (Washington: Institute for International Economics, 1996), pp. 57-90.
"Disinflation and the Recession-Now-Versus-Recession-Later Hypothesis: Evidence from Uruguay" (with Alexander W. Hoffmaister), IMF Staff Papers, Vol. 43 (June 1996), pp. 355-394.
"Stabilization and Growth in Transition Economies: The Early Experience" (with Stanley Fischer and Ratna Sahay), Journal of Economic Perspectives, Vol. 10 (Spring 1996), pp. 45-66. [Paper available from JSTOR by clicking on the title.]
"Economies in Transition: The Beginnings of Growth," (with Stanley Fischer and Ratna Sahay), American Economic Review (May 1996), pp. 229-233. [Paper available from JSTOR by clicking on the title.]
"Inflation and Stabilization in Transition Economies: An Analytical Interpretation of the Evidence" (with Ratna Sahay), Journal of Policy Reform, Vol. 1 (1996), pp. 75-108.
"Dollarization in Transition Economies: Evidence and Policy Implications" (with Ratna Sahay), in Paul Mizen and Eric J. Pentecost, eds., The Macroeconomics of International Currencies: Theory, Policy and Evidence (London: Edward Elgar, 1996), pp. 192-224.
"From Currency Substitution to Dollarization and Beyond: Analytical and Policy Issues" (with Guillermo A. Calvo), in Guillermo A. Calvo, Money, Exchange Rates, and Output (Cambridge: MIT Press, 1996), pp. 153-175.
"Real Effects of Exchange Rate-Based Stabilizations: An Analysis of Competing Theories" (with Sergio Rebelo), in Ben S. Bernanke and Julio J. Rotemberg, NBER Macroeconomics Annual 1995, pp. 125-174. [Also issued as NBER Working Paper No. 5197, July 1995.]
"Inflationary Finance and Currency Substitution in a Public Finance Framework," Journal of International Money and Finance, Vol. 14, No.5 (October 1995), pp. 679-693.
"Targeting
the Real Exchange Rate: Theory and Evidence" (with Guillermo A. Calvo
and Carmen M. Reinhart), Journal of Development Economics, Vol. 47
(June 1995), pp. 97-133. Spanish
version published under the title "La Tasa de Cambio Real como Meta de
Politica: Teoria y Evidencia," Ensayos Sobre Politica Economica
(Central Bank of Colombia), Vol. 25 (June 1994), pp. 7-50.
Nominal Interest Rates, Consumption Booms, and Lack of Credibility: A Quantitative Examination" (with Carmen M. Reinhart), Journal of Development Economics, Vol. 46 (February 1995), pp. 357-378.
"Fighting Inflation with High Interest Rates: The Small-Open-Economy Case under Flexible Prices" (with Guillermo A. Calvo), Journal of Money, Credit, and Banking, Vol. 27 (February 1995), pp. 49-66.
"Credibility and the Dynamics of Stabilization Policy: A Basic Framework" (with Guillermo A. Calvo), in Christopher Sims, ed., Advances in Econometrics: Sixth World Congress, Vol. II (Cambridge: Cambridge University Press, 1994), pp. 377-420.
"Inflation Stabilization and Nominal Anchors" (with Guillermo A. Calvo), Contemporary Economic Policy, Vol. XII (April 1994), pp. 35-45. Reprinted in Richard Barth and Chrong-Huey Wong, eds., Approaches to Exchange Rate Policy: Choices for Developing and Transition Economies (Washington: IMF, 1994), pp. 90-102.
"Stabilization Dynamics and Backward-Looking Contracts" (with Guillermo A. Calvo), Journal of Development Economics, Vol. 43 (February 1994), pp. 59-84.
"Exchange Rate-Based Stabilisation under Imperfect Credibility" (with Guillermo A. Calvo), in Open-Economy Macroeconomics, edited by Helmut Frisch and Andreas Worgotter (London: MacMillan Press, 1993), pp. 3-28. Reprinted in Guillermo Calvo, Essays on Money, Inflation, and Output (Cambridge, Mass.: MIT Press, 1996), pp. 365-390.
"Currency Substitution and the Optimal Inflation Tax" (with Pablo E. Guidotti), Economics Letters, Vol. 42 (1993), pp. 65-70.
"The Optimal Inflation Tax when Money Reduces Transactions Costs: A Reconsideration" (with Pablo E. Guidotti), Journal of Monetary Economics, Vol. 31 (April 1993), pp. 189-205.
"Stopping High Inflation: An Analytical Overview," IMF Staff Papers, Vol. 39 (September 1992), pp. 626-695. Reprinted in Great Inflations of the Twentieth Century: Theories, Policies and Evidence, edited by Pierre Siklos, (Hampshire, U.K.: Edward Elgar, 1995).
Currency Substitution in Developing Countries: An Introduction" (with Guillermo A. Calvo), Revista de Análisis Económico, Vol. 7 (June 1992), pp. 3-27.
"Macroeconomic Interdependence under Capital Controls: A Two-Country Model of Dual Exchange Rates" (with Pablo E. Guidotti), Journal of International Economics, Vol. 32 (May 1992), pp. 353-367.
"Interest Rate Policy in a Small Open Economy: The Predetermined Exchange Rates Case" (with Guillermo A. Calvo) IMF Staff Papers, Vol. 37 (December 1990), pp. 753-776.
"Optimal Taxation Policies in the EMS: A Two-Country Model of Public Finance" (with Pablo E. Guidotti) IMF Staff Papers, Vol. 37 (June 1990), pp. 311-337. Reprinted in Functioning of the International Monetary System, edited by Jacob A.Frenkel and Morris Golstein (Wasghington, DC: International Monetary Fund, 1996), pp.232-260.
"Dual Exchange Rate Markets Under Incomplete Separation: An Optimizing Model" (with Jagdeep S. Bhandari) IMF Staff Papers, Vol 37 (March 1990), pp. 146-166.
"Government Spending and Inflationary Finance: A Public Finance Approach'" IMF Staff Papers, Vol. 36 (September 1989), pp. 657-77.
"The Optimal Inflation Tax in the Presence of Currency Substitution," Journal of Monetary Economics, Vol. 24 (July 1989), pp. 139-46.
"Effects of Currency Substitution on the Response of the Current account to Supply Shocks," IMF Staff Papers, Vol. 35 (December 1988), pp. 574-91. Spanish version published under the title "Efectos de la Sustitución de Moneda sobre la Respuesta de la Cuenta Corriente a los Shocks de Oferta," Revista de Economía (Central Bank of Uruguay), Vol. IV (August 1989), pp. 3-26.
Open Economy Macroeconomics in Developing Countries (graduate textbook to be published by MIT Press).
“Procyclical Fiscal Policy in Developing Countries: Truth of Fiction?” (with Ethan Ilzetzky), NBER Working Paper No. 14191 (July 2008).
“Interest Rates and the Exchange Rate: A Non-Monotonic Tale” (with Viktoria Hnatkovska and Amartya Lahiri), NBER Working Paper No. 13925 (April 2008).
“Procyclical Government Spending in Developing Countries: The Role of Capital Markets Frictions” (with Alvaro Riascos). November 2003.
"Do Exchange Rate-Based Stabilizations Carry the Seeds of Their Own Destruction?" (with Carmen M. Reinhart), draft.
"Dollarization in Transition Economies (with Ratna Sahay), Finance and Development (March 1995), pp. 36-39.
"Inflación Crónica y
Estabilización I: Evidencia Empírica; II: Análisis de la Evidencia; and III:
Lecciones de Política Económica," a three-part series published in El
País (Montevideo, Uruguay), June 1994.
"Currency Substitution in High Inflation Countries" (with Guillermo A. Calvo), Finance and Development, Vol. 30 (March 1993), pp. 34-37.
"Credibilidad y la Dinámica de Políticas de Estabilización," in Diagnóstico y Propuestas a Temas Económicos Prioritarios (Montevideo: Academia Nacional de Economía, 1991), pp. 85-91. Reprinted in Revista Indicadores, October-December 1990 (Buenos Aires: Sociedad Rural Argentina), pp. 64-69.
"Chronic Inflation 20 Years Later: A Progress Report" (review essay), Finance and Development (March 1994), pp. 48-49.
Review on Public Debt Management: Theory and History, edited by Rudiger Dornbusch and Mario Draghi, in Finance and Development, Vol. 28 (December 1991), pp. 48-49.
World Economic Outlook (Washington, DC: International Monetary Fund, October 1994).
World Economic Outlook (Washington, DC: International Monetary Fund, May 1994).
World Economic Outlook (Washington, DC: International Monetary Fund, October 1993).
Editor (with Ernesto Talvi), ¿Cómo armar el rompecabezas fiscal? Nuevos indicadores de sostenibilidad (How to put together the fiscal puzzle? New sustainability indicators), InterAmerican Develoment Bank (2000).
Co-Editor (with Guillermo A. Calvo) of a special issue (in English) of Revista de Analisis Económico on "Convertibility and Currency Substitution," published in June 1992.
Journal of Political Economy; American Economic Review; Quarterly Journal of Economics; Review of Economic Studies; Econometrica; Journal of Monetary Economics; Journal of Economic Theory, Economic Journal; International Economic Review; Journal of International Economics; Journal of International Money and Finance; Journal of Development Economics; European Economic Review; Journal of Money, Credit and Banking; Journal of Policy Reform; Journal of Economic Dynamics and Control; Journal of Macroeconomics; Economic Inquiry; Journal of Public Economics; European Journal of Political Economy; IMF Staff Papers; World Bank Economic Review; International Tax and Public Finance Journal; National Science Foundation; World Bank research projects; Harvard University Press, MIT Press.
Born