- Author
- Lakehal-Ayat Merouane (St. John Fisher College, Rochester, USA)
- Title
- Currency Crisis : the Case of Iceland
- Source
- Zeszyty Naukowe Uniwersytetu Szczecińskiego. Finanse, Rynki Finansowe, Ubezpieczenia, 2010, nr 26, s. 559-572, Rys., bibliogr. poz. 5
- Keyword
- Kryzys finansowy, Kryzys finansowy państwa
Financial crisis, State financial crisis - Note
- streszcz., summ..
- Country
- Islandia
Iceland - Abstract
- The purpose of this research paper is to analyze the Krona (the Icelandic currency) from an investment perspective while determining what has influenced its recent value deterioration. The paper looks at many different variables that have influenced the currency since the 1980s. These fac¬tors include: lceland's market-based economy, the layout of their financial system, the exchange rate system, balance of payments, International investment position, and the fiscal/monetary policies that influence their society. When investing in this currency, it is vital to understand the importance of each of these factors and their role in the valuation of the currency as an investment. With the recent decline of the Krona's value, recommendations are put forward regarding Iceland's currency's man-agement. Due to the fact that their financial system has been the backbone of their economy over the last decade, they need to stabilize this system first and foremost. As soon as the economy will display signs of recovery, the government must take measures to curb the deficit and external debt, while en-couraging the diversification of the Icelandic economy. Moreover, Iceland must do its best to join the Euro zone. In that context and from an investment approach namely trading the Krona, individuals should sell it if they have a short-term investment horizon. However, in the long-term ranging from 3-5 years, the currency promises modest return. (original abstract)
- Accessibility
- The Library of Warsaw School of Economics
The Library of University of Economics in Katowice
The Main Library of Poznań University of Economics and Business
The Main Library of the Wroclaw University of Economics
Szczecin University Main Library - Bibliography
-
- Forex.com. Forex, 25 Dec. 2010. Web. 25 Dec. 2009
- Wallstreet Journal, 25 Dec. 2010. Web. 25 Dec. 2009
- Central Bank of Iceland. Central Bank of Iceland, 26 Nov. 2009. Web. 28 Dec. 2009
- OECD. Organization for Economic Co-operation and Development, 26 Nov. 2009. Web. 10 Jan. 2010
- IMF-Iceland. International Monetary Fun, 4 Jan. 2010. Web. 8 Jan. 2010
- Forex.com. Forex, 25 Dec. 2010. Web. 25 Dec. 2009
- Cited by
- ISSN
- 1640-6818
1733-2842 - Language
- eng
