The literature has not being able to identify clear-cut real effects of exchange-rate regimes on output growth. Similarly, no definitive view emerges from the literature in regard to the effects of open capital markets on macroeconomic performance. The paper attributes the failure of the...

This text opens with a discussion of the nature, causes and consequences of the Asian Financial Crisis (AFC). It examines the impact the AFC had as well as offers answers for the questions: why was the economic downturn so severe and why was the territory initially a laggard in economic recovery?

We study the influence of the exchange rate on the speed of economic recovery in a sample of 67 developed and developing economies over the years 1989-2019. First, using a cross-sectional sample of 341 economic recoveries, we study the effect of nominal depreciation and real undervaluation on...