Bad case of bathulism
Table des matières I. A brief presentation of Thailand 3 II. What happened ? 5 III. How can a central bank use its currency reserves to support the value of its country's currency in the foreign exchange market? 6 Floating Exchange Rate System 6 Fixed Exchange Rate System 7 IV. Would Thailand have been better of using a flexible exchange rate system instead of the fixed system it did use? 9 V. If you had been a manager of international business in Thailand in February 1997, what could you have done to protect your company against the possibility of a devaluation of Bath? 10 VI. According to an old saying "it's an ill wind that blows no good", can you think or anyone who benefits from Thailand's currency crisis? 11 VII. What impact do you think the "Asian contagion" had on other emerging economies, such as those in Latin America or Easter Europe. 12 VIII. Conclusion 13
I. A brief presentation of Thailand
Thailand is an independent country that lies in the heart of Southeast Asia. It is bordered to the north by Burma and Laos, to the east by Laos and Cambodia, to the south by the Gulf of Thailand and Malaysia, and to the west by the Andaman Sea and the southern extremity of Burma. Its maritime boundaries include Vietnam in the Gulf of Thailand to the southeast and Indonesia and India in the Andaman Sea to the southwest.The country is a kingdom, a constitutional monarchy with King Bhumibol Adulyadej, the ninth king of the House of Chakri, who has reigned since 1946, making him the world's longest-serving current head of state and the longest-reigning monarch in Thai history.[6] The king is officially titled Head of State, the Head of the Armed Forces, an Upholder of the Buddhist religion, and the Defender of all Faiths.
The largest city in Thailand is Bangkok, the capital, which is also the country's center of political, commercial, industrial and cultural activities.