Quasi-experimental analysis of the impact of exchange rate regime selection on crisis recovery: evidence from the Asian Financial Crisis

References

• Alesina, A. and Barro, R. J. (2002) Currency unions*, The Quarterly Journal of Economics, 117, 409–36. doi:10.1162/003355302753650283
   Web of Science ®Google Scholar
• Beetsma, R. and Giuliodori, M. (2010) The macroeconomic costs and benefits of the EMU and other monetary unions: an overview of recent research, Journal of Economic Literature, 48, 603–41. doi:10.1257/jel.48.3.603
   Web of Science ®Google Scholar
• Berg, A., Ostry, J. D. and Zettelmeyer, J. (2012) What makes growth sustained? Journal of Development Economics, 98, 149–66. doi:10.1016/j.jdeveco.2011.08.002
   Web of Science ®Google Scholar
• Calvo, G. A. and Mishkin, F. S. (2003) The mirage of exchange rate regimes for emerging market countries, Journal of Economic Perspectives, 17, 99–118. doi:10.1257/089533003772034916
   Web of Science ®Google Scholar
• Calvo, G. A. and Reinhart, C. M. (2002) Fear of floating, The Quarterly Journal of Economics, 117, 379–408. doi:10.1162/003355302753650274
   Web of Science ®Google Scholar
• Calvo, G. A. and Vegh, C. A. (1992) Currency substitution in developing countries: an introduction, IMF Working Paper 92/40, International Monetary Fund, Washington, DC.
   Google Scholar
• Carmignani, F., Colombo, E. and Tirelli, P. (2008) Exploring different views of exchange rate regime choice, Journal of International Money and Finance, 27, 1177–97. doi:10.1016/j.jimonfin.2008.06.004
   Web of Science ®Google Scholar
• Cerra, V. and Saxena, S. C. (2008) Growth dynamics: the myth of economic recovery, American Economic Review, 98, 439–57. doi:10.1257/aer.98.1.439
   Web of Science ®Google Scholar
• Chinn, M. and Ito, H. (2006) What matters for financial development? Capital controls, institutions, and interactions, Journal of Development Economics, 81, 163–92. doi:10.1016/j.jdeveco.2005.05.010
   Web of Science ®Google Scholar
• Claessens, S. and Ayhan Kose, M. (2013) Financial crises: explanations, types, and implications, IMF Working Paper 13/28, International Monetary Fund, Washington, DC.
   Google Scholar
• Dehejia, R. (2005) Practical propensity score matching: a reply to Smith and Todd, Journal of Econometrics, 125, 355–64. doi:10.1016/j.jeconom.2004.04.012
   Web of Science ®Google Scholar
• Dehejia, R. H. and Wahba, S. (2002) Propensity score-matching methods for nonexperimental causal studies, Review of Economics and Statistics, 84, 151–61. doi:10.1162/003465302317331982
   Web of Science ®Google Scholar
• Domaç, I. and Martinez-Peria, M. S. (2003) Banking crises and exchange rate regimes: is there a link? Journal of International Economics, 61, 41–72. doi:10.1016/S0022-1996(02)00081-8
   Web of Science ®Google Scholar
• Edwards, S. and Levy-Yeyati, E. (2005) Flexible exchange rates as shock absorbers, European Economic Review, 49, 2079–105. doi:10.1016/j.euroecorev.2004.07.002
   Web of Science ®Google Scholar
• Edwards, S. (1996) The determinants of the choice between fixed and flexible exchange-rate regimes, NBER Working Paper Series 5756, NBER, Cambridge, MA. doi:10.3386/w5756
   Google Scholar
• Edwards, S. and Igal Magendzo, I. (2003) Dollarization and economic performance: what do we really know? International Journal of Finance & Economics, 8, 351–63. doi:10.1002/ijfe.217
   Web of Science ®Google Scholar
• Edwards, S. and Igal Magendzo, W. (2006) Strict dollarization and economic performance: an empirical investigation, Journal of Money, Credit, and Banking, 38, 269–82. doi:10.1353/mcb.2006.0016
   Web of Science ®Google Scholar
• Eichengreen, B., Park, D. and Shin, K. (2011) When fast growing economies slow down: international evidence and implications for China, NBER Working Paper Series 16919, NBER, Cambridge, MA. doi:10.3386/w16919
   Google Scholar
• Ghosh, A., Gulde, A-M., Ostry, J. et al. (1997) Does the nominal exchange rate regime matter? NBER Working Paper Series 5874, NBER, Cambridge, MA. doi:10.3386/w5874
   Google Scholar
• Grier, K. and Grier, R. (2001) Exchange rate regimes and the cross-country distribution of the 1997 financial crisis, Economic Inquiry, 39, 139–48. doi:10.1111/j.1465-7295.2001.tb00056.x
   Web of Science ®Google Scholar
• Hausmann, R., Pritchett, L. and Rodrik, D. (2005) Growth accelerations, Journal of Economic Growth, 10, 303–29. doi:10.1007/s10887-005-4712-0
   Web of Science ®Google Scholar
• Heckman, J. J., Ichimura, H. and Todd, P. (1998) Matching as an econometric evaluation estimator, Review of Economic Studies, 65, 261–94. doi:10.1111/1467-937X.00044
   Web of Science ®Google Scholar
• Hirano, K., Imbens, G. W. and Ridder, G. (2003) Efficient estimation of average treatment effects using the estimated propensity score, Econometrica, 71, 1161–89. doi:10.1111/1468-0262.00442
   Web of Science ®Google Scholar
• Holden, P., Holden, M. and Suss, E. C. (1979) The determinants of exchange rate flexibility: an empirical investigation, The Review of Economics and Statistics, 61, 327–33. doi:10.2307/1926061
   Web of Science ®Google Scholar
• Husain, A., Mody, A. and Rogoff, K. (2005) Exchange rate regime durability and performance in developing versus advanced economies, Journal of Monetary Economics, 52, 35–64. doi:10.1016/j.jmoneco.2004.07.001
   Web of Science ®Google Scholar
• Jerzmanowski, M. (2006) Empirics of hills, plateaus, mountains and plains: a Markov-switching approach to growth☆, Journal of Development Economics, 81, 357–85. doi:10.1016/j.jdeveco.2005.05.005
   Web of Science ®Google Scholar
• Jones, B. F. and Olken, B. A. (2008) The anatomy of start-stop growth, Review of Economics and Statistics, 90, 582–87. doi:10.1162/rest.90.3.582
   Web of Science ®Google Scholar
• King, R. G. and Levine, R. (1993) Finance and growth: Schumpeter might be right, The Quarterly Journal of Economics, 108, 717–37. doi:10.2307/2118406
   Web of Science ®Google Scholar
• Krugman, P. (1979) A model of balance-of-payments crises, Journal of Money, Credit, and Banking, 11, 311–25. doi:10.2307/1991793
   Web of Science ®Google Scholar
• Lechner, M. (2002) Program heterogeneity and propensity score matching: an application to the evaluation of active labor market policies, Review of Economics and Statistics, 84, 205–20. doi:10.1162/003465302317411488
   Web of Science ®Google Scholar
• Levy-Yeyati, E. and Sturzenegger, F. (2003) To float or to fix: evidence on the impact of exchange rate regimes on growth, American Economic Review, 93, 1173–93. doi:10.1257/000282803769206250
   Web of Science ®Google Scholar
• Levy-Yeyati, E. and Sturzenegger, F. (2005) Classifying exchange rate regimes: deeds vs. words, European Economic Review, 49, 1603–35. doi:10.1016/j.euroecorev.2004.01.001
   Web of Science ®Google Scholar
• Levy-Yeyati, E., Sturzenegger, F. and Reggio, I. (2010) On the endogeneity of exchange rate regimes, European Economic Review, 54, 659–77. doi:10.1016/j.euroecorev.2009.12.004
   Web of Science ®Google Scholar
• Melvin, M. (1985) The choice of an exchange rate system and macroeconomic stability, Journal of Money, Credit, and Banking, 17, 467–78. doi:10.2307/1992442
   Web of Science ®Google Scholar
• Mundell, R. (1961) A theory of optimum currency areas, American Economic Review, 51, 657–65.
   Web of Science ®Google Scholar
• Pritchett, L. (2000) Understanding patterns of economic growth: searching for hills among plateaus, mountains, and plains, The World Bank Economic Review, 14, 221–50. doi:10.1093/wber/14.2.221
   Web of Science ®Google Scholar
• Reinhart, C. M. and Rogoff, K. S. (2004) The modern history of exchange rate arrangements: a reinterpretation*, The Quarterly Journal of Economics, 119, 1–48. doi:10.1162/003355304772839515
   Web of Science ®Google Scholar
• Rose, A. K. (2011) Exchange rate regimes in the modern era: fixed, floating, and flaky, Journal of Economic Literature, 49, 652–72. doi:10.1257/jel.49.3.652
   Web of Science ®Google Scholar
• Rosenbaum, P. R. and Rubin, D. B. (1985) Constructing a control group using multivariate matched sampling methods that incorporate the propensity score, The American Statistician, 39, 33–8.
   Web of Science ®Google Scholar
• Rosenbaum, P. R. and Rubin, D. B. (1983) The central role of the propensity score in observational studies for causal effects, Biometrika, 70, 41–55. doi:10.1093/biomet/70.1.41
   Web of Science ®Google Scholar
• Rubin, D. B. (1974) Estimating causal effects of treatments in randomized and nonrandomized studies, Journal of Educational Psychology, 66, 688–701. doi:10.1037/h0037350
   Web of Science ®Google Scholar
• Svensson, L. E. O. (2003) Escaping from a liquidity trap and deflation: the foolproof way and others, Journal of Economic Perspectives, 17, 145–66. doi:10.1257/089533003772034934
   Web of Science ®Google Scholar
• Tsangarides, C. G. (2012) Crisis and recovery: role of the exchange rate regime in emerging market economies, Journal of Macroeconomics, 34, 470–88. doi:10.1016/j.jmacro.2012.01.005
   Web of Science ®Google Scholar
• Vonhagen, J. and Zhou, J. (2007) The choice of exchange rate regimes in developing countries: a multinomial panel analysis, Journal of International Money and Finance, 26, 1071–94. doi:10.1016/j.jimonfin.2007.05.006
   Web of Science ®Google Scholar