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KDI 경제정보센터

ENG
  • Economic

    Information

    and Education

    Center

국제무역
International Sanctions and Dollar Dominance
NBER
2023.03.24
This paper investigates the implications of international financial sanctions for the reserve currency status of the US dollar. We propose a simple model of a reserve currency, demonstrate how the anticipation of financial sanctions can weaken the dollar’s status, and evaluate the welfare implications.