The book extensively discusses the structure and stability of the Hong Kong banking sector, using economic theory and advanced empirical econometric techniques. It is important for readers who are interested in studying the banking industry in general, and the Hong Kong banking sector in particular

Hong Kong's Linked Exchange Rate system (LERS) has been in operation since 1983 during which time many other fixed exchange rate systems have succumbed to shocks and/or speculative attacks. This paper investigates how market participants assessed changes made to the LERS by using the tools of...

This chapter analyses the impact of the global credit crisis on the money market and discusses its potential implications. The turbulence in money markets has spilled over to foreign exchange (FX)-swap markets amid a reappraisal of counterparty risks during the recent financial turmoil. We...

This paper discusses issues related to the sequencing of the reforms that are necessary to transform the economies in Eastern Europe into market economies. It is first argued that the transition path of these economies will be smoother and less costly if a clear statement of the ultimate goals...