TAI-KUANG HO2019-10-222019-10-22200836846https://www2.scopus.com/inward/record.uri?eid=2-s2.0-42549142596&doi=10.1080%2f00036840600771221&partnerID=40&md5=2a4202151984e88a63e0f0bcb3ee272chttps://scholars.lib.ntu.edu.tw/handle/123456789/427102We employ extreme value theory to identify currency crises in Taiwan. The new approach is able to identify severe currency crises, and at the same time avoid the crisis-misclassification problem of Markov-switching models. Signal accounting indicates that currency crises in Taiwan are preceded by rapid expansion of domestic credit and other monetary aggregates, implying that financial excesses stressed by the third-generation crisis model are the main causes of these currency crises.[SDGs]SDG8journal article10.1080/0003684060077122118037191500