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Scylla and Charybdis. Explaining Europe's exit from gold, January 1928-December 1936

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  • Wolf, Nikolaus

Abstract

The paper examines the timing of exit from the interwar gold-exchange standard for a panel of European countries, based on monthly data over the period January 1928-December 1936. I show that exit from gold can be understood in terms of a trade-off between a limited set of factors commonly suggested in the theoretical literature on currency crises. A simple and parsimonious econometric framework that nests various hypotheses allows me to predict the month of exit in the 1930s, except for France. I consider the separate cases of France and Poland to show my results shed light on country-specific debates.

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Bibliographic Info

Article provided by Elsevier in its journal Explorations in Economic History.

Volume (Year): 45 (2008)
Issue (Month): 4 (September)
Pages: 383-401

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Handle: RePEc:eee:exehis:v:45:y:2008:i:4:p:383-401

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Web page: http://www.elsevier.com/locate/inca/622830

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Keywords: Gold-exchange standard Interwar period Europe;

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References

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Cited by:
  1. Nikolaus Wolf, 2012. "Crises and Policy Responses within the Political Trilemma: Europe, 1929-1936 and 2008-2011," Working Papers 0016, European Historical Economics Society (EHES).
  2. repec:cge:warwcg:70 is not listed on IDEAS
  3. Nicholas Crafts & Peter Fearon, 2010. "Lessons from the 1930s Great Depression," Oxford Review of Economic Policy, Oxford University Press, vol. 26(3), pages 285-317, Autumn.

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