Generation model of currency crises

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Problem:

In the 1st generation model of currency crises which of the following will result in a crisis occurring earlier than otherwise

A) a reduction in the government deficit
B) a reduction in foreign exchange reserves 
C) a reduction in the interest rate sensitivity of money demand
D) a reduction in the rate of monetization

Summary of problem:

This question basically belongs to Finance as well as it explains about 1st generation model of currency crisis which results in crisis occurring earlier

Reference no: EM13827298

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