Central bank reactions to banking crises in fixed exchange rate regimes

摘要

Until recently, speculative attacks and banking crises have been largely treated as separate phenomena. However, the recent experiences of several Southern Cone countries indicates that banking difficulties can lead to a currency crises if in combatting them, the central bank adopts policies which are inconsistent with the fixed exchange rate regime. The paper illustrates how this can be the case and discusses what are the policy responses available to central banks that face banking crises in fixedexchange rate regimes.