This paper studies the causes of turbulence in foreign exchange markets looking closely on the experience of five transition economies. In more details, we consider the influence of macroeconomic variables in the case of currency crises occurrence by using logit models. In an environment of...

Using a disaggregate survey data base, this paper re-examines the issue of the existence of a time-varying risk premia in three foreign exchange markets. Previous research on this topic has utilized a consensus measure of the risk premium, based on the rational expectations assumption, and is...