Re: The Hong Kong peg?

[Martin Hart-Landsberg <marty@xxxxxxxxxx>]

On Sat, 17 Jan 1998, Rosser Jr, John Barkley wrote:
>      3)  If China does not devalue, one can expect
> eventually even the pathetic Indonesian rupiah to bounce
> and go up.  After all, these countries were almost all
> running current account surpluses (well, not ROK), prior to
> the crashes.  Their currencies are all now way undervalued

The above is not true.  Thailand, Malaysia, Indonesia, and South Korea
were all running large and growing Current Account deficits.  The deficits
were especially large as a percentage of GDP in Malaysia and Thailand,
about 6-8%.

Marty Hart-Landsberg