Determinants of Currency Crises in Emerging Markets: The Case of Turkey

Ãzge ÃeÅmeci and A. Ãzlem Ãnder
Authors registered in the RePEc Author Service: A. Özlem Önder

Emerging Markets Finance and Trade, 2008, vol. 44, issue 5, 54-67

Abstract: This paper investigates possible determinants of currency crises in Turkey. We use three different techniquesânamely, the signaling approach, structural model, and Markov switching model with monthly data for the period 1992-2004. The results show that money market pressure index, real-sector confidence index, and public-sector variables are significant in explaining currency crises. Hence, one can say that banking crises lead to currency crises. Central banks' real-sector confidence index may be a good leading indicator for currency crises.

Keywords: currency crises; exchange rate pressure index; Markov switching model; money market pressure index; signal approach; structural model (search for similar items in EconPapers)
Date: 2008
References: Add references at CitEc
Citations: View citations in EconPapers (10)

Downloads: (external link)
http://mesharpe.metapress.com/link.asp?target=contribution&id=03883V7X2747686U (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:mes:emfitr:v:44:y:2008:i:5:p:54-67

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/MREE20

Access Statistics for this article

More articles in Emerging Markets Finance and Trade from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().