Estimation of speculative attack models: Mexico yet again

An amalgamation of standard speculative attack models is applied to Mexican exchange rate regimes over the past twenty years. The paper develops the first simultaneous (non-iterative) estimator for speculative attack models. Particular attention is paid to the December 1994 devaluation of the peso. Estimation results for the recent devaluation are a disappointment, less so for earlier periods when the assumptions of the model are more appropriate.

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