Description
Book SynopsisMany theoretical and empirical analyses have been put forward to explain currency crises, but this book is unique in providing an extensive perspective and a comprehensive view of the field.
Andre Fourcans and Raphael Franck assert that models concerning the outbreak and the propagation of currency crises share many similarities and may therefore be studied together. Theoretical developments in the currency crises literature lead to three distinct types of models. The authors focus on these first, second and third-generation models of currency crises and also discuss the role of the international financial system in preventing currency crises.
Appealing to graduate students, academics and researchers in international economics, this book is a must have for those interested in learning about currency crises and the evolution of currency crises research.
Trade Review'This book is a valuable contribution to the literature and it deserves the attention of those interested in the evolution of the currency crisis literature.' -- Ferda Donmez, Ankara University, Turkey
Table of ContentsContents: Introduction Part I: First-Generation Models of Currency Crises 1. Main Assumptions of First-Generation Models 2. Aspects of the Policymaker’s Behaviour 3. Extensions of First-Generation Models Part II: Second-Generation Models of Currency Crises 4. Self-fulfilling Expectations and the Outbreak of Currency Crises 5. Self-fulfilling Expectations and Currency Crisis Contagion 6. The Relevance of Second-Generation Models Part III: Third-Generation Models of Currency Crises 7. Economic Policy Tradeoffs and the Outbreak of Currency Crises 8. Deteriorated Fundamentals and Currency Crisis Contagion 9. Deteriorated Fundamentals and Speculators’ Expectations Part IV: Currency Crises and the International Financial System 10. The Spread of Currency Crises in Emerging Countries from 1997 to 1999: A Case Study 11. Currency Crises and Exchange Rate Regimes 12. The Role of International Financial Institutions References Index
