This paper provides an asymmetric information analysis of the recent East Asian crisis. It then outlines several … lessons from this crisis. First, there is a strong rationale for an international lender of last resort. Second, without … promote financial instability. Third, although capital flows did contribute to the crisis, they are a symptom rather than an …

-competitiveness and income effect were both important transmission mechanisms during the later part of the Asian crisis and the Russian … crisis. For example, if a firm's main product line competed with a major East Asian export, the firm's average daily abnormal … stock return was 13 percent lower during the Asian crisis. The magnitude of this product competitiveness effect during the …