Roubini, Nouriel; Cavallo, Michele; Kisselev, Kate - Society for Computational Economics - SCE - 2004
Currency crises are usually associated with large real depreciations. In some countries real depreciations are … look at episodes of currency crises in the '90s and establish that countries entering a crisis with high levels of foreign …) and large output contractions. We develop a model of currency crises that helps explain this evidence. The key element of …