| International Finance Discussion Papers: The Twin Crises: The Causes of Banking and Balance-Of-Payments Problems Contributor(s): United States Federal Reserve Board (Created by), Kaminsky, Graciela L. (Author), Reinhart, Carmen M. (Author) |
|
 |
ISBN: 1288734395 ISBN-13: 9781288734399 Publisher: Bibliogov OUR PRICE: $14.96 Product Type: Paperback - Other Formats Published: February 2013 |
| Additional Information |
| BISAC Categories: - Political Science |
| Physical Information: 0.07" H x 7.44" W x 9.69" (0.18 lbs) 34 pages |
| Descriptions, Reviews, Etc. |
| Publisher Description: In the wake of the ERM and Mexican currency crises, the subject of balance-of-payments crises has come to the forefront of academic and policy discussions. This paper focuses on the potential links between banking and balance-of-payments crises. We examine these episodes for a large number of countries and find that knowing that there are banking problems helps in predicting balance-of-payments crises, but the converse is not true; financial liberalization usually predates banking crises, indeed, it helps predict them. Rather than a causal relationship from banking to balance-of-payments crises, the macroeconomic "stylized facts" that characterize these episodes point to common causes. |
