Showing 1 - 10 of 223
This paper contributes to the economics of financial institutions risk management by exploring how loan securitization affects their default risk, their systematic risk, and their stock prices. In a typical CDO transaction a bank retains through a first loss piece a very high proportion of the...
Persistent link: https://www.econbiz.de/10005014928
In a model of evolution driven by conflict between societies more powerful states have an advantage. When the influence …
Persistent link: https://www.econbiz.de/10010950707
We provide a general framework for the analysis of the dynamics of institutional change (e.g., democratization, extension of political rights or repression of different groups), and how these dynamics interact with (anticipated and unanticipated) changes in the distribution of political power...
Persistent link: https://www.econbiz.de/10010950976
We propose a model of cycles of distrust and conflict. Overlapping generations of agents from two groups sequentially … a sequence of bad actions originated. Assuming that both sides are not extremists, spirals of distrust and conflict get … this mechanism can be useful in interpreting cycles of ethnic conflict and international war, and how it also emerges in …
Persistent link: https://www.econbiz.de/10010951006
Motivated by a novel stylized fact - countries with isolated capital cities display worse quality of governance - we provide a framework of endogenous institutional choice based on the idea that elites are constrained by the threat of rebellion, and that this threat is rendered less effective by...
Persistent link: https://www.econbiz.de/10010951385
contributed significantly to the frequency, incidence, and onset of both overall and ethnic civil conflict over the last half …-century, accounting for a large set of geographical and institutional correlates of conflict, as well as measures of economic development … the incidence of intragroup factional conflict. These findings arguably reflect the contribution of genetic diversity to …
Persistent link: https://www.econbiz.de/10011252653
This paper investigates the economic effects of conflict, using the terrorist conflict in the Basque Country as a case … September 1998 as a natural experiment to estimate the effects of the conflict. If the terrorist conflict was perceived to have …
Persistent link: https://www.econbiz.de/10005248926
Across countries, education and democracy are highly correlated. We motivate empirically and then model a causal mechanism explaining this correlation. In our model, schooling teaches people to interact with others and raises the benefits of civic participation, including voting and organizing....
Persistent link: https://www.econbiz.de/10005084522
conflict over the control of arable land. Second, to impede further the production and exportation of drugs the state attempts … subsidies to the conflict over control of arable land and smaller subsidies to eradication and interdiction efforts. …
Persistent link: https://www.econbiz.de/10005084523
South Africa's transition from apartheid to democracy stands as one of the past century's most important political events. The transition has been successful to this point because the new constitution adopted a form of federal governance that has been able to provide protection for the economic...
Persistent link: https://www.econbiz.de/10009652749