Exchange rate crises with domestic bank runs: Evidence from the 1890S
Le Sherman Silver Purchase Act de 1890 a causé des craintes d'inflation et une série d'attaques sur les réserves du Trésor Américain. Malgré ces attaques, le dollar s'est maintenu durant cette période. On peut se demander pourquoi. Un argument (Fels (1959)) est que les spéculateurs rationnels ne doutaient pas vraiment que le Trésor s'était engagé envers l'étalon-or. Un autre argument, proposé par Grilli (1990), est que la capacité du Trésor à emprunter a permis au dollar de se maintenir. Ce papier offre une troisième explication. Ici, on propose que l'étalon-or a survécu pendant l'automne 1893 parce qu'une attaque contre le système bancaire a frustré l'attaque contre le dollar. The Sherman Silver Purchase Act of 1890 led to inflation fears and a series of attacks on the United States Treasury's gold reserves. In spite of these runs, the dollar never devalued during the time. The question remains: why? One argument (Fels (1959)) is that rational speculators dis not really distrust the United States commitment to the gold standard. Another argument proposed by Grilli (1990) is that the Treasury's ability to borrow prevented collapse. This paper offers a third explanation which complements the second. It is argued that the gold standard endured in the fall of 1893 because an internal drain of commercial bank funds stopped and/or prevented the external drain on the central bank's gold tranche.
To our knowledge, this item is not available for
download. To find whether it is available, there are three
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
|Date of creation:||Dec 1993|
|Note:||To receive copy, email author|
|Contact details of provider:|| Postal: P.O. Box 8888, Downtown Station, Montreal (Canada) Quebec, H3C 3P8|
Phone: (514) 987-4114
Fax: (514) 987-8494
Web page: http://www.uqam.ca/economie/
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:cre:uqamwp:9315. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Stéphane Pallage)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.