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respective major crisis triggers (Lehman’s collapse in the US and the 2009 admission by Papandreou, that Greece’s deficit was … those widely observed crisis triggers is similar in the EA and in the US, the behavior of their reserves is quite different …
Persistent link: https://www.econbiz.de/10011096105
Historical estimates of the Fisher effect and the informational content in the yield curve may not be relevant after a change in monetary policy. This paper uses a small dynamic rational expectations model with staggered price setting to study how central bank preferences (and thereby monetary...
Persistent link: https://www.econbiz.de/10005497757
A simple test of inflation target credibility is constructed by subtracting the maximum and minimum inflation rates consistent with the inflation targets from the yields to maturity on nominal bonds. This results in a target-consistent range of real yields on nominal bonds. If expected real...
Persistent link: https://www.econbiz.de/10005661572
recent global liquidity crisis and, in particular, the quant event of 2007. …
Persistent link: https://www.econbiz.de/10005082543
-financial firm and commercial bank before the crisis, but the picture was quite different for large commercial banks States and for … deleveraging during the crisis. These results show that excessive risk taking before the crisis was not easily detectable because …
Persistent link: https://www.econbiz.de/10009283393
economic crisis. Evidence on the variety of discrimination implemented by governments, characteristics of the recent systemic … crisis, as well as on certain, often overlooked features of WTO obligations are used to support a conclusion that the WTO … rules altered at most the composition of crisis-era protectionism. As to the quantum of protectionism, it is unclear how WTO …
Persistent link: https://www.econbiz.de/10009365003
This paper examines the role of credit rating agencies in the subprime crisis that triggered the 2007-08 financial …
Persistent link: https://www.econbiz.de/10008558591
Most stock exchange regulators around the world reacted to the 2007-2009 crisis by imposing bans or regulatory …
Persistent link: https://www.econbiz.de/10008474510
Systemic risk is modeled as the endogenously chosen correlation of returns on assets held by banks. The limited liability of banks and the presence of a negative externality of one bank’s failure on the health of other banks give rise to a systemic risk-shifting incentive where all banks...
Persistent link: https://www.econbiz.de/10004980206
We present a model in which issuers of asset backed securities choose to release coarse information to enhance the liquidity of their primary market, at the cost of reducing secondary market liquidity or even causing it to freeze. The degree of transparency is inefficiently low if the social...
Persistent link: https://www.econbiz.de/10005504512