Kanago, Bryce; McCormick, Ken - In: Atlantic Economic Journal 41 (2013) 4, pp. 385-404
Between August 25, 1939 and June 7, 1940, there was a free market for British pounds in New York. German success at the outset of World War II caused the value of free sterling to fall relative to the official exchange rate. This imposed an externality that made it more difficult for Britain to...