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We analyze holdings of public bonds by over 20,000 banks in 191 countries, and the role of these bonds in 20 sovereign defaults over 1998-2012. Banks hold many public bonds (on average 9% of their assets), particularly in less financially-developed countries. During sovereign defaults, banks...
Persistent link: https://www.econbiz.de/10011083481
Exploring the period since the inception of the euro, we show that secondary-market yields on Italian public debt increase in anticipation of auctions of new issues and decrease after the auction, while no or a smaller such effect is present for German public debt. However, these yield movements...
Persistent link: https://www.econbiz.de/10011083630
trade liberalization again, 'reveal' the damage done by protection? Here it is argued, using a time-series approach, that it …
Persistent link: https://www.econbiz.de/10005662419
The semiconductor arrangement was intended to enhance free trade based on market principles. This paper argues that the … floor forced a capacity reduction, a rise in world prices and a cartelization of the market. Since the observed dumping was … probably not predatory pricing, the price floor restricted competition and free trade. The market closure probably exists and …
Persistent link: https://www.econbiz.de/10005791362
clout in international commercial negotiations. Yet, since the World Trade Organization's (WTO's) creation in 1995, it is …The European Union is the world's largest trader, a fact that on the face of it ought to convert into considerable … difficult to point to a string of successes for the European Commission's (EC's) often beleaguered trade negotiators. Even the …
Persistent link: https://www.econbiz.de/10005124370
The incorporation of details of industrial organisation into the study of international trade has been the subject of a … fast growing recent literature which is surveyed in this paper. Whereas the conventional theory of trade deals almost …, increasing returns to scale and product differentiation. In Section 2, I discuss how adding imperfect competition to trade theory …
Persistent link: https://www.econbiz.de/10005498164
Government policies designed to give domestic exporters a strategic advantage in world markets are completely effective …
Persistent link: https://www.econbiz.de/10005656419
A key precursor of twentieth-century financial crises in emerging and advanced economies alike was the rapid buildup of leverage. Those emerging economies that avoided leverage booms during the 2000s also were most likely to avoid the worst effects of the twenty-first century’s first global...
Persistent link: https://www.econbiz.de/10009201122
This paper, a chapter in the forthcoming Oxford University Press Handbook of the Indian Economy, edited by Chetan Ghate, considers India’s experience with fiscal (responsibility) rules during the past decade. After reviewing the basic facts concerning public debt and deficits in India, the...
Persistent link: https://www.econbiz.de/10008468524
In an environment characterized by weak contractual enforcement, sovereign lenders can enhance the likelihood of repayment by making their claims more difficult to restructure. We show within a simple model how competition for repayment between lenders may result in sovereign debt that is...
Persistent link: https://www.econbiz.de/10005504677