Rey (2013) has recently argued that the trilemma is no longer appropriate because a global financial cycle drives capital flows, and these flows primarily determine domestic financial conditions, not domestic monetary policy. Therefore, policy-makers face only a dilemma (between free capital movement and independent monetary policy), and countries would need capital controls to conduct independent monetary policy.
However, Shambaugh (2004) and Obstfeld, Ostry and Qureshi (2019) show that exchange rate regimes do matter, even for emerging-market economies, when it comes to the transmission of global financial shocks.