Here's why it is too early to speak of global contagion in emerging markets

The 1997 Asian financial crisis has changed the way economists approach currency crisis

Turkey, Indonesia and Argentina have all seen their currencies experience huge drops in recent months. Similarly, stocks in India, South Africa, Mexico and others have taken a hit.

Emerging markets across the board have been under pressure since the US Federal Reserve raised interest rates in June. Governments and companies had borrowed in dollars when interest rates were low and the dollar was weak. Now the dollar is strong and interest rates are rising. And research by economists Michael Bordo, Chris Meissner and David Stuckler has shown that countries with higher foreign currency debt are more likely to experience currency