ABSTRACT
Global financial markets in the last months have been driven by two main events. The emerging market economies during the last fifteen months (of late 1997 and 1998) have witnessed turbulences unparalleled since 1945. What began as a local currency crisis in Thailand in July 1997 has evolved into a full-fledged crisis with global dimensions. It cannot be denied that this crisis poses dangers even for economic growth in the industrialized countries.
