bank intervention on exchange rates. Within a heterogeneous expectations exchange rate model intervention operations are … to daily US-dollar/DEM forward rates and intervention data of the Deutsche Bundesbank and the Federal Reserve from 1979 …

. Extending Morris and Shin (2006), we consider that the IMF's intervention policy usually exerts a signaling effect on private …'s signaling ability, our results state that repeated intervention is required to bail out a country, where by additional … intervention suffices to avoid liquidity crises. -- catalytic finance; debtor moral hazard; global games …