Series: IMF Working Papers
Author(s): Olivier Jeanne
Publisher: INTERNATIONAL MONETARY FUND
Publication Date: 01 May 2001
Keywords: bank runs, multiple equilibria, credit crunch, exchange rate regime, deposit insurance, Asian crisis, exchange rate, banking, foreign exchange, banking sector
This paper considers how an international lender of last resort (LOLR) can prevent self-fulfilling banking and currency crises in emerging economies. We compare two different arrangements: one in which the internat...