In this paper we analyze how the mutual interdependence of private sector expectations influences the stability offixed exchange rate regimes in different countries. When countries trade with one another, the crisis probabilities are interdependent because monetary policy in each country affects...

There is nowadays a wide consensus among economists that central banks should be independent. The substantiation of this claim was derived from the modern theory of monetary policy and from empirical experiences with central bank independence, both concentrated on developed industrial countries....

This paper focuses on the challenges China is confronted with in the context of structural change. It first shows that the service sector in China is ‘relatively small’ compared with other developed and developing countries in their historical context of structural change. Then it discusses...