Global financial crises and reforms : cases and caveats /
| Other Authors: | |
|---|---|
| Format: | Book |
| Language: | English |
| Published: |
London ; New York :
Routledge,
2002.
|
| Series: | Routledge studies in the modern world economy ;
27 |
| Subjects: | |
| Online Access: | http://search.ebscohost.com/login.aspx?direct=true&scope=site&db=nlebk&AN=70444 |
Table of Contents:
- Machine generated contents note: Introduction 1
- B.N. GHOSH
- PART I
- Causes and correlates 7
- 1 The twin crises: the causes of banking and balance-of-payments problems 9
- GRACIELA L. KAMINSKY AND CARMEN M. REINHART
- Introduction 9
- The links between banking and currency crises 11
- The macroeconomic background of the crises 18
- The anatomy of crises 27
- Final remarks 35
- 2 The Asian currency crisis: afait accompli? 48
- OBIYATHULLA ISMATH BACHA
- Introduction 48
- Objective and motivation 48
- Literature review 49
- What went wrong in East Asia 52
- Monetary policy: rapid expansion 55
- Vulnerability, herd behavior and self-fulfilling crises 65
- Conclusion 70
- 3 Financial crisis in the MIT countries: myths and realities 77
- B.N. GHOSH
- Introduction 77
- Myths and realities 78
- Speculative attack: which model to apply? 91
- Systemic implications of the crisis 94
- Concluding observations 97
- 4 Japanese banking problems: implications for Southeast Asia 102
- JOE PEEK AND ERIC S. ROSENGREN
- Introduction 102
- Recent trends in the global operations of Japanese banks 103
- Patterns in Japanese lending in Southeast Asia 108
- Impact of Southeast Asian loans on problems at Japanese Banks 115
- Were Japanese bank lending patterns different from
- those of the US and European banks? 117
- Southeast Asian penetration by Japanese banks 120
- Conclusion 123
- PART II
- Cases and caveats 127
- 5 Indonesia: the long road to recovery 129
- STEVEN RADELET
- Introduction 129
- A brief economic history 130 Emerging vulnerabilities 131
- Crisis management 136
- From economic crisis to political upheaval 146
- The economic situation in early 1999 147
- 6 The Malaysian currency crisis: capital flows, policy response and macroeconomic vulnerability 157
- ANITA DORAISAMI
- Introduction 157
- The magnitude and composition of capital flows 159
- Policy response to capitalflows and macroeconomic impacts 160
- The impacts of foreign direct investment 166
- Fiscal policy and external debt 169
- Conclusion 179
- 7 Speculative attack theory and currency crisis in Korea 183
- CHANGKYU CHOI
- Introduction 183
- Theories of currency crises 184
- Causes of the currency crisis in Korea and policy tasks 190
- Policy to prevent a future crisis 202
- Conclusion 203
- 8 Banking crisis in Mexico 213
- LEONARDO TORRE
- Introduction 213
- Credit expansion in Mexico: 1988-94 213
- The path to the crisis 217
- The crisis and options for the government 221
- Results of the rescue program 228
- Final comments 235
- 9 Capital flows and economic policy in Brazil 240
- NICOLA TINGAS AND PAULO PEREIRA MIGUEL
- Introduction 240
- Capital flows to Latin America and economic policy choices 241
- The Brazilian experience in the 1990s: economic policy
- and capitalflows 244
- Free floating, panic andfaster than expected recovery 262
- Perspectives after thefloating of the exchange rate 268
- Conclusion 279
- 10 The yen that is too strong: a note on Japanese crisis 284
- MASATO KAWANISHI
- Introduction 284
- Bubble economy 284
- Bubble burst 285
- Prolonged stagnation 286
- Update 290
- The yen that is too strong 290
- 11 Lessons from the Asian financial crisis 295
- STEVEN RADELET AND JEFFREY SACHS
- Introduction 295
- The origins of the crisis 296
- Some policy implications 307
- PART III
- Crisis management and reforms 317
- 12 The Asian model, the miracle, the crisis and the fund 319
- JEFFREY A. FRANKEL
- Origins of the crisis 319
- Dangers of "analysis by hindsight" 320
- Our strategy for dealing with the crisis 322
- Critiques of the management of the crisis 323
- 13 Financial crises and reforms: towards an assessment
- of the emerging international financial architecture 330
- PAOLA MONTI
- Introduction 330
- Episodes of emerging countries' crisis in the nineties 332
- Role of the IMF and of the international community 339
- Lessons to draw from crises 341
- Reform of the internationalfinancial architecture 343
- Conclusions 350
- 14 Sustainability, vulnerability, and risk management 356
- PETER CORNELIUS AND KLAUS SCHWAB
- Introduction 356
- Financial crises and international illiquidity 357
- Hedging and the development of financial markets 361
- The basic structure of VaRs 365.
- Developing macroeconomic VaRs 367
- Conclusion 372
- 15 Should capital controls be banished? 376
- RICHARD N. COOPER
- Introduction 376
- Semantic and other useful distinctions 377
- Some history 378
- Some general observations on financial markets 383
- Pros and cons of capital liberalization 385
- Why capital movements might not lead to efficient allocation of capital 388
- Capital movements for market discipline 391
- The effectiveness of capital controls 392
- Does liberalization of capital movements foster growth? 400
- Is capital freedom compatible with flexible exchange rates? 401
- Conclusions 402
- Index 409.