This paper reassesses the prospects for greater monetary integration in Asia in the wake of the Asian financial crisis of 1997. The Asian crisis highlighted the absence of well-developed supranational institutions in Asia to provide early warning signals of impending currency or balance of payments problems, access to unconditional funds to cope with financial problems, and a common defensive m...

Abstract Since the start of financial crisis in 2008, European economies have been hit by unprecedented exogenous shocks. The ECB has countered these with unconventional monetary policy, extraordinary high new fiscal borrowing and a permanent Stability Mechanism (ESM). On top all that, response to coronavirus crisis, Community Bonds issued for first time. All measures proved helpful, but equall...

The recent episodes of financial turmoil in Mexico, East Asia, Russia, Brazil, and Argentina are often dubbed financial crises. However, the severe downturns in equity markets, abrupt currency devaluations, and massive capital flight that characterize these events can still be deemed compatible with efficient and functioning financial markets. Thus, why is a financial crisis a “crisis?” To answ...

The Asian financial crisis in 1997 brought to the attention of member countries of the Association of South East Asian Countries (ASEAN-5) (comprising Indonesia, Malaysia, the Philippines, Singapore and Thailand) the need for closer monetary co-operation. Central to the OCA literature is the nature and symmetry of underlying economic disturbances. If the economic disturbances are similar across...

In the period November 2003 to February 2004, there was an unambiguous upward trend in the U.S. stock market. Over the same period, the U.S. dollar kept depreciating against all major currencies. Analysts kept trying to predict when this downward trend would come to an end based on the U.S. trade deficit. Was not the exchange rate affected by the stock market instead? In this paper, I study if ...