e-journal

Sudden stops and currency crises

---

Purpose – The purpose of this paper is to examine empirical characteristics of two commonly
mentioned expressions of international financial crisis, “sudden stops” and currency crises.
Design/methodology/approach – Sudden stop and currency crisis events are identified and
empirical regularities among them are analyzed based on the annual data of 25 emerging market
countries from 1990 to 2003.
Findings – Puzzlingly, these two seemingly close expressions of crises overlap less than 50 percent
of the time and sudden stops more frequently precede than follow currency crises. Also the two
different sudden stop measures are not strongly correlated with each other.
Research limitations/implications – This shows that it can make a great deal of difference what
measure is used and suggests that studies in this area should be sure to check the robustness of their
results to different measures.
Practical implications – The authors think that the proper analysis should focus on how to use
these different measures to understand the nature of the crises. Thus, sudden stop and currency crisis
measures should be used as complements, rather than substitutes.
Social implications – The alarming frequency of the emerging market crises during the last three
decades has motivated a large volume of theoretical and empirical literature on the subject. The
paper’s results advance understanding of these events.
Originality/value – A large body of studies on currency crises coexists with a growing
literature on sudden stops yet a majority of the studies that investigate either one of these
phenomena do not mention the other. The paper adds value by investigating empirical relationships
between them.

Keywords International economics, International finance, International investments,Capital movements, International factor movements, International business, Current account adjustment,Open economy, Macroeconomics, International trade, Financial markets

---

Ketersediaan

Tidak ada salinan data

Informasi Detail

Judul Seri

Journal of Financial Economic Policy

No. Panggil

-

Penerbit

: Emerald Group., 2011

Deskripsi Fisik

Journal of Financial Economic Policy Vol. 3 No. 4, 2011 pp. 304-321

Bahasa

English

ISBN/ISSN

-

Klasifikasi

-

Tipe Isi

-

Tipe Media

-

Tipe Pembawa

-

Edisi

-

Subjek

EKONOMI

Info Detail Spesifik

-

Pernyataan Tanggungjawab

Asmawati/Syahrial

Versi lain/terkait

Lampiran Berkas

Komentar

---

Anda harus masuk sebelum memberikan komentar