A Modelling Analysis of the Best Way of Capital Escape from a Currency Crisis

被引:0
|
作者
Hou, Anping [1 ]
机构
[1] Shanxi Univ Finance & Econ, Dept Finance & Bank, Taiyuan, Peoples R China
来源
PROCEEDINGS OF CHINA-CANADA WORKSHOP ON FINANCIAL ENGINEERING AND ENTERPRISE RISK MANAGEMENT 2010 | 2010年
关键词
currency crisis; capital escape; initial currency; best way; hard currency;
D O I
暂无
中图分类号
F8 [财政、金融];
学科分类号
0202 ;
摘要
Examples of capital escape can be always found every time, when a currency crisis occurs. However restricted by the requirements of the transactions conditions in the financial market of the country where the crisis occurs, there would be theoretically a question of choosing a best way for the capital to escape. According to this essay, on the presupposition of disregarding the arbitrage opportunities (which does not affect the validity) of the conclusion even if they are taken into account), as far as the financial market of a specific country is concerned, under the restriction of the requirements in currency exchange rate, transaction cost, transaction amount and etc, the best way would be: the currency speculator need only first to exchange his initial currency in hand for, and among, several kinds of intermediary currency (by breaking up the whole sum into in several parts as required by the stipulated limitation of transaction amount); and finally, to exchange the intermediary currency for a specific hard currency.
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页码:82 / 85
页数:4
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