Discerning family resemblances in the world of theories can be useful for several reasons. For one thing, noticing that two theories share the traits of a family of theories may help us to understand each of them better. Secondly, noticing the family resemblances may help us to model them more...

Prior to the Asian crisis, easy liquidity conditions contributed to credit expansion and overinvestment in the East Asian economies until they were hit by a deep recession. Similarly to the developments in the tiger economies in the 1990s, Central and Eastern European (CEE) grew rapidly from...

In this paper I analyze whether carry trade returns can be linked to stock market booms in Central and Eastern Europe prior to the crisis of 2007-8. Empirically, I find that from 1999 to 2009 stock markets hiked when carry trades were lucrative. Based on Minsky's "theory of financial...

This paper studies the monetary policy of the Federal Reserve (Fed) and the European Central Bank (ECB) with respect to stock or/and foreign exchange markets from 1979 to 2009. I find that during the Greenspan era stock markets played a role in US monetary policy. The Fed lowered interest rates...