Some Historical Evidence 1870-1933 on the Impact and International Transmission of Financial Crises

摘要: This study presents historical evidence for six countries (the U.S., U.K., Germany, France, Canada, Sweden) in the period 1870-1933 on impactof financial crises economic activity and international transmission of crises. The paper examines two approaches literature to role importance as disturbances domestic activity, that monetarists--Friedman Schwartz Cagan, Fisher-Minsky Kindleberger. In a comparison reference cycle contractions over severe were all cases accompanied by monetary contraction, most with stock market crashes, but not exception banking unique performance U.S. can be attributed absence nationwide branch system compared five other examined, less effective played authorities acting lender last resort. Our principal findings are two. First, consistent monetarist approach, under Classical gold standard, periods containing crises, nations' money supplies linked flows changes high powered money, while flexible exchange rates there is insulation real variables from foreign shocks. Second, sympathy Kindleberger-Minsky similarity between turning points prices, common incidence similar deposit reserve ratio key determinant contraction (except u.s.) suggests arbitrage prices was channel