TY - BOOK ID - 135441756 TI - Prospective deficits and the Asian currency crisis AU - Burnside, Craig. AU - Eichenbaum, Martin S. AU - Rebelo, Sergio. AU - World Bank. PY - 1999 PB - Washington, DC : World Bank, Development Research Group, Macroeconomics and Growth, DB - UniCat KW - Banks and banking KW - Budget deficits KW - Financial crises KW - Econometric models. UR - https://www.unicat.be/uniCat?func=search&query=sysid:135441756 AB - The recent Asian currency crisis was caused by large prospective fiscal deficits associated with implicit bailout guarantees to failing banking systems. Absent the political will to raise taxes or cut spending, governments must resort to seignorage revenues to pay for the bailout of the banking system. In a world of forward-looking agents, this makes a currency crisis inevitable. ER -