A common currency peg in East Asia? Perspectives from Western Europe

被引:57
作者
Chow, HK
Kim, Y [1 ]
机构
[1] Natl Univ Singapore, Dept Econ, Singapore, Singapore
[2] Monetary Author Singapore, Singapore, Singapore
[3] Univ Kentucky, Dept Econ, Lexington, KY 40506 USA
关键词
common currency peg in East Asia; optimum currency area; country-specific shocks vs. regional shocks; economic and monetary union;
D O I
10.1016/S0164-0704(03)00041-7
中图分类号
F [经济];
学科分类号
02 ;
摘要
In this paper we investigate the feasibility of a common currency peg in East Asia from the perspective of Western European Countries. We find that domestic Outputs of East Asian countries are strongly influenced by country-specitic shocks while regional shocks are far more important in European countries that have joined the Economic and Monetary Union. The results are robust to various changes in specifications of the model. They suggest that East Asian countries are structurally different from each other and thus more likely to be subject to asymmetric shocks. Based on optimum currency area grounds, a common currency peg in East Asia would be more costly and difficult to sustain. (C) 2003 Elsevier Inc. All rights reserved.
引用
收藏
页码:331 / 350
页数:20
相关论文
共 27 条
[1]   COINTEGRATION AMONG SOUTHEAST-ASIAN AND JAPANESE CURRENCIES - PRELIMINARY EVIDENCE OF A YEN BLOC [J].
AGGARWAL, R ;
MOUGOUE, M .
ECONOMICS LETTERS, 1993, 41 (02) :161-166
[2]  
[Anonymous], 1994, Economic Interdependence in the Asia-Pacific Region: Towards a Yen Bloc
[3]  
[Anonymous], EXCHANGE RATE POLICI
[4]  
[Anonymous], PRINCETON STUDIES IN
[5]  
[Anonymous], 1993, REGIONALISM RIVALRY
[6]   Ever closer to heaven? An optimum-currency-area index for European countries [J].
Bayoumi, T ;
Eichengreen, B .
EUROPEAN ECONOMIC REVIEW, 1997, 41 (3-5) :761-770
[7]  
BAYOUMI T, 1993, ADJUSTMENT AND GROWTH IN THE EUROPEAN MONETARY UNION, P193, DOI 10.1017/CBO9780511599231.014
[8]  
Benassy-Quere A., 1999, EXCHANGE RATE POLICI, P40
[9]  
BLANCHARD OJ, 1989, AM ECON REV, V79, P655
[10]   Who drives real interest rates around the Pacific Rim: The USA or Japan? [J].
Chinn, MD ;
Frankel, JA .
JOURNAL OF INTERNATIONAL MONEY AND FINANCE, 1995, 14 (06) :801-821