This paper reviews theoretical work on exchange-rate crises and discusses recent attempts to reduce the risk of crises and manage them more effectively. Models usually used to explain crises—those in which they are due to bad policies and those in which they are due to self-fulfilling...

Confounding forecasts of disruption and market turbulence, the transition to monetary union in Europe took place very smoothly. Some recent developments, however, are cause for concern, and important problems must still be resolved. The governments of most euro-zone countries do not subscribe to...

The emerging-market crises of the 1990s were characterized by crashes in exchange rates, credit flows, and output, and the currency crashes caused the other two. Because local banks and firms had large foreign-currency debts, the sharp depreciations of their countries' currencies had huge...

When I wrote my book on EMU four years ago (Kenen 1995), very little had been written on the international dimensions of EMU There was a chapter in the Commission's path-breaking study (European Commission, 1990). There were papers by Alogoskoufis and Portes (1991, 1992), Cooper (1992), Goodhart...

Exchange Rates and the Monetary System comprises a careful selection of Peter B. Kenen’s acclaimed papers on international monetary economics written over the past thirty years. The volume includes Professor Kenen’s theoretical and empirical essays on the functioning of the international...