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Licensed Unlicensed Requires Authentication Published by De Gruyter November 30, 2019

The Success of Currency Reforms to End Great Inflations: An Empirical Analysis of 34 High Inflations

Peter Bernholz and Peter Kugler
From the journal German Economic Review


The estimation of an ordered probit model for currency reforms attempting to end 31 hyperinflations and three huge inflations of the twentieth century shows that the introduction of an independent central bank and the adoption of a credibly fixed exchange rate are crucial for the success of a currency reform. In addition, currency reforms are demonstrated to be more difficult in centrally planned economies than in market economies.

Published Online: 2019-11-30
Published in Print: 2009-05-01

© 2019 by Walter de Gruyter Berlin/Boston

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