Currency substitution appears to be an important issue affecting the design of monetary policy, especially in transition economies. This article strives to analyze the particular relevance of the currency substitution phenomenon in the Czech Republic. We initially discuss the role of currency...

This paper examines the relative effect of anticipated and unanticipated components of external crises on growth cycles in emerging market economies. The external crises considered are currency crises and current account reversals. Unlike the negative effect of current account reversals on gross...

According to economic theory, a capital inflows reversal--the sudden stop-- has a significant negative effect on economic growth. This article investigates the direct impact of current account reversals on growth in Central and Eastern European countries. Two steps to conduct the analysis are...