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Current Account Based Exchange Rate Mechanism (CABEM): A Mathematical Protocol for Endogenous Trade Equilibrium and Sovereign Debt Discipline

Year: 2026
Type: preprint
Abstract: The Current Account Based Exchange Rate Mechanism (CABEM) is a mathematical framework for exchange-rate determination based on current-account balances and monetary expansion. The protocol derives exchange rates as endogenous outputs of observable macroeconomic variables and provides a globally consistent, transitive, and non-discretionary currency valuation system.
Language: English
Subfield: Finance
Open Access status: green
OpenAlex ID: W7222880060
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