02981nam 2200637Ia 450 991082687450332120200520144314.01-4623-2660-91-4527-9857-51-283-51493-197866138273881-4519-0914-4(CKB)3360000000443666(EBL)3014308(SSID)ssj0000943266(PQKBManifestationID)11584498(PQKBTitleCode)TC0000943266(PQKBWorkID)10975387(PQKB)10462282(OCoLC)698585477(MiAaPQ)EBC3014308(IMF)WPIEE2006133(EXLCZ)99336000000044366620070104d2006 uf 0engurcnu||||||||txtccrSudden stops and currency drops a historical look /[prepared by] Luis A.V. Catao1st ed.[Washington, D.C.] International Monetary Fundc20061 online resource (61 p.)IMF working paper ;WP/06/133At head of title: Research Department."May 2006."1-4518-6393-4 Includes bibliographical references (p. 52-59).""Contents""; ""I. INTRODUCTION""; ""II. PATTERNS OF SUDDEN STOPS""; ""III. CAPITAL FLOWS AND CURRENCY CRASHES""; ""IV. DOMESTIC FINANCIAL IMPERFECTIONS AND PROCYCLICAL BEHAVIOR""; ""V. CONCLUSION""; ""REFERENCES""This paper shows that recent manifestations of sudden stops (SSs) in international capital flows have striking parallels in the early financial globalization era preceding World War I. All main capital-importing countries then faced episodic capital flow reversals averaging some 5 percent of GDP and with a median duration of four years. Most SSs also displayed striking crosscountry synchronization, being immediately preceded by rising world interest rates. Both fixed and floating exchange rate regimes were hit, with no significant differences between them. Yet, not all SSs resulted in currency drops: while some countries experienced currency collapses, others managed to preserve exchange rate stability. These different responses are related to domestic "frictions" that heightened the procyclicality of absorption and hindered precautionary reserve accumulation in some countries relative to others.IMF working paper ;WP/06/133.RecessionsFinancial crisesHistoryBusiness cyclesHistoryRecessions.Financial crisesHistory.Business cyclesHistory.Catao Luis0International Monetary Fund.Research Dept.MiAaPQMiAaPQMiAaPQBOOK9910826874503321Sudden Stops and Currency Drops4077594UNINA