Traditional approaches to the etiology of financial crises focus on the fundamentals of an economy, more specifically on the disequilibrium in the balance of payments. The purpose of this paper is to extend this ‘first generation’ literature of financial crises with a general model that...

The introduction of the euro is a momentous event that has important implications for the world, for Europe, and also for the world. Protectionism in Europe in its various forms is being given a final blow with the introduction of the common currency that, for the first time, will lead to...