The Asian crisis highlighted the vulnerability of emerging market economies faced by sudden capital flow reversals. An important question that has critical implications for crisis management is how negative shocks in capital inflows were transmitted to economic activities, transforming financial...

This paper analyzes Korea’s exchange rate dynamics before and during the crisis of 1997-98 by estimating the long-run fundamental exchange rate and the associated error correction model. The analysis suggests that although Korea’s exchange rate was substantially overvalued before...

Why is Japan a good case study to help Europe overcome the economic and �nancial crisis that started more than �ve years ago? What can Japan learn from Europe's experience? Japan and the EU are both open economies with signi�cant trade and �nancial links; both face in many...

In the wake of the global financial crisis, leading industrialized countries have managed to show only a gradual recovery, while East Asian economies have surged ahead. In particular, China achieved growth in excess of 10% in 2010 and is expected to continue growing at a rapid pace. It appears...

This paper empirically examines the hypothesis that countries exporting a larger share of manufactured products in total exports grows faster. Both cross-country and panel data analyses find evidence in support of the hypothesis for developing countries. The results are robust to the inclusion...

"Besides export expansion, a growing middle class in Asia has contributed to the area's economic expansion, providing Asian countries with a window of opportunity to leap from low/middle income levels to high income levels. It may sound easy for these countries to run up the ladder of economic...