Affordable Access

A Large Poisson Currency Crises Game: Towards a Theory of Both the Onset and the Swiftness of Currency Attacks.



Existing models of self-fulfilling crises fail to explain both the onset and the abruptness of recent currency attacks. In this apper we follow the suggestion by Myerson (1998) that in games with a very large number of players 'a more realistic model should admit some uncertainty about the number of players in the game.' In particular, we build a Large Poisson Currency Crises Game which turns out to be consistent with sudden attacks and unique equilibrium.

There are no comments yet on this publication. Be the first to share your thoughts.


Seen <100 times