We have performed large-scale Monte Carlo simulations on a two-dimensional generalized Ashkin-Teller model to calculate the thermodynamic properties in the critical region near its transitions. The Ashkin-Teller model has a pair of Ising spins at each site which interact with neighboring spins through pair-wise and four-spin interactions. The model represents the interactions between orbital current loops in CuO 2 plaquettes of high-T c cuprates, which order with a staggered magnetization M s inside each unit cell in the underdoped region of the phase diagram below a temperature T ‫ء‬ ͑x͒ which depends on doping. The pair of Ising spins per unit cell represents the directions of the currents in the links of the current loops. The generalizations are the inclusion of anisotropy in the pair-wise nearest-neighbor current-current couplings consistent with the symmetries of a square lattice and the next-nearest-neighbor pair-wise couplings. We use the Binder cumulant to estimate the correlation length exponent and the order-parameter exponent ␤. Our principal results are that in a range of parameters; the Ashkin-Teller model as well as its generalization has an order-parameter susceptibility which diverges as T → T ‫ء‬ and an order parameter below T ‫ء‬ . Importantly, however, there is no divergence in the specific heat. This puts the properties of the model in accord with the experimental results in the underdoped cuprates. We also calculate the magnitude of the "bump" in the specific heat in the critical region to put limits on its observability. Finally, we show that the staggered magnetization couples to the uniform magnetization M 0 such that the latter has a weak singularity at T ‫ء‬ and also displays a wide critical region, also in accord with recent experiments.