Caporale, Guglielmo Maria; Cipollini, Andrea; … - Centro di Studi Internazionali Sull'Economia e la … - 2003
This paper examines whether a monetary policy tightening (i.e., an increase in the domestic interest rate) was successful in defending the exchange rate from speculative pressures during the Asian financial crisis. We estimate a bivariate VECM for four Asian countries, and improve upon existing...