International Reserves Accumulation
in Emerging Countries with Flexible Exchange Rates
Patricia Rodríguez and Omar Ruiz
APPLYING THE w-k MODEL TO SELECTED LATIN AMERICAN ECONOMIES ( ...continuation )

When estimating the optimal demand of international reserves for the aforementioned countries, the “Wijnholds-Kapteyn methodology is shown to have a serious limitation, since the short-term debt (STD) figure is only published annually, whereas ideally the observations would be available each month to help analyze the situation. Another drawback is the fact that the same STD data is released with a delay of almost one year after the date in question.” (Ruiz, 2011: 80).