Paper Title
Sterilisation of Capital Inflows in Brics: What does 2sls Regression Convey?
Abstract
In this paper the extent of sterilization, a monetary policy response adopted by central banks to surge in capital inflows in BRICS is discussed. Two stage least square method is used to find the sterilization coefficient. This paper is structured into five parts. The first part explains in brief currency dilemma, objectives of sterilization, significance of exchange rate and also throws light on the earlier studies. The second part explains the econometric model used for the study. The third part details about the data and variables where as fourth part narrates the results. The last part which deals with describes conclusion, reveals that countries in BRICS group resort to partial sterilization.