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The East Asian Crisis in Kindleberger-Minsky’s Framework

A crise da Leste Asiático no modelo Kindleberger-Minsky

ABSTRACT

The paper reviews the 1997 East Asian crisis within the framework of the five stages of displacement, boom, overtrading, revulsion, and tranquility of the Kindleberger-Minsky model. It further notes that the recent interpretations of the crisis, based on the hypotheses of fundamental imbalances and financial panic, conform to the stages of the Kindleberger-Minsky model.

KEYWORDS:
Kindleberger-Minsky model; 1997 Asian currency crisis; financial contagion

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