The structural VAR models for European countries (France, Denmark, and Germany) are developed to examine the monetary policy reactions, especially the within-ERM exchange rate stabilization, during the ERM period. First, impulse responses of monetary instrument and the exchange rate to shocks...

The author uses a vector autoregressive (VAR) model to examine the behavioural relationship between macroeconomic fundamentals in four Asian countries during the pre-1997 crisis period. The study shows that in each country a increase in domestic interest rates (or expansion in interest rate...