Crises and exchange rate regimes: time to break down the bipolar view?

C-Tier
Journal: Applied Economics
Year: 2016
Volume: 48
Issue: 46
Pages: 4393-4409

Authors (3)

Jean-Louis Combes (not in RePEc) Alexandru Minea (Université d'Orléans) Moussé Sow (not in RePEc)

Score contribution per author:

0.335 = (α=2.01 / 3 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We revisit the link between crises and exchange rate regimes (ERR). Using a wide panel of 90 developed and developing countries over the period 1980–2009, we find that corner ERR are not more prone to crises compared to intermediate ERR. This finding holds for different types of crises (banking, currency and debt), and is robust to a wide set of alternative specifications. Consequently, we clearly break down the traditional bipolar view: countries that aim at preventing crisis episodes should focus less on the choice of the ERR, and instead implement sound structural macroeconomic policies.

Technical Details

RePEc Handle
repec:taf:applec:v:48:y:2016:i:46:p:4393-4409
Journal Field
General
Author Count
3
Added to Database
2026-01-25