Marchesi, Silvia; Prato, Valeria - Dipartimento di Economia, Metodi Quantitativi e … - 2013
This paper studies the impact of debt default on economic growth taking into account the depth of a debt restructuring. More specifically, creditors' losses (or haircuts) are used as proxies of the severity of the default episodes. Analyzing 89 defaults in 72 countries over the period 1979-2005,...