Imported or Home Grown? The 1992-3 EMS Crisis

Barry Eichengreen and Alain Naef

Working papers from Banque de France

Abstract: Using newly assembled data on foreign exchange market intervention, we construct a daily index of exchange market pressure during the 1992-3 crisis in the European Monetary System. Using this index, we pinpoint when and where the crisis was most severe. Our analysis focuses on a neglected factor in the crisis: the role of the weak dollar in intra-EMS tensions. We provide new evidence of the contribution of a falling dollar-Deutschmark exchange rate to pressure on EMS currencies.

Keywords: European Monetary System; exchange rates; foreign exchange intervention; currency crisis. (search for similar items in EconPapers)
JEL-codes: E5 F31 N14 N24 (search for similar items in EconPapers)
Pages: 46 pages
Date: 2020
New Economics Papers: this item is included in nep-his, nep-ifn, nep-mac, nep-mon and nep-opm
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https://publications.banque-france.fr/sites/defaul ... ocuments/wp793_0.pdf

Related works:
Journal Article: Imported or home grown? The 1992–3 EMS crisis (2022)
Working Paper: Imported or Home Grown? The 1992-3 EMS Crisis (2021)
Working Paper: Imported or Home Grown? The 1992-3 EMS Crisis (2021)
Working Paper: Imported or Home Grown? The 1992-3 EMS Crisis (2020)
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Persistent link: https://EconPapers.repec.org/RePEc:bfr:banfra:793

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