This paper reviews the adjustment processes of the 5 East Asian countries since the currency crisis erupted in Thailand in 1997. The cross-country differences and similarities in macroeconomic policies were compared. After the initial free-fall, signs of recovery became visible only from the end...

This paper documents the unfolding process of the Korean crisis in 1997. First, we show that it was hard to predict the Korean crisis at least up till the first half of 1997. Our judgement is based on the pre-crisis behavior of the leading indicators of currency crisis, the financial market data...

Providing an integrated analysis of the event and its consequences, the chapters in the book consider the causes of the crisis, the response of the US government and International Monetary Fund, adjustments in the Korean monetary and fiscal policies, and the success of financial and corporate...