range of crises, including banking, balance-of-payments, and sovereign debt crises. It reviews the typical patterns prior to …

theoretical and empirical explanations of four types of financial crises—currency crises, sudden stops, debt crises, and banking …

public and private debts. Sometimes the debt restructuring is more subtle and takes the form of 'financial repression … facilitated a sharp and rapid reduction or 'liquidation' of public debt from the late 1940s to the 1970s. The restrictions or …

central government debt increases, on average, by about 86 percent. Thus the fiscal burden of banking crisis extends far …

aggressive', in which case they accept negative-NPV projects. In the first case, the uniquely optimal security is debt. In the … second case, it is levered equity. Debt maximizes lenders’ payoffs from financing low-NPV projects, i.e., projects that have … that are relatively likely to break even are financed with debt, while less profitable projects are financed with equity …

This paper uses a new data-set to examine how internal capital markets and foreign ownership affect investment. Our … data allow us to compare investment behaviour of listed subsidiaries with stand-alone firms while controlling for … investment opportunities of parent and subsidiary firms. We evaluate how the size of ownership and the geographical proximity of …

managerial rents. They under-invest and smooth payout and rents. Debt is the shock-absorber for operating income and investment …We present a dynamic agency model of investment, borrowing and payout decisions by a mature corporation operating in …. Managers do not rebalance capital structure, so shocks to debt levels persist. Managers implement precautionary savings by …

This paper models the effect of disclosure on real investment. We show that, even if the act of disclosure is costless … cutting investment. Investment depends on asset pricing variables such as investors' liquidity shocks; disclosure depends (non … optimal to induce investment, the manager may be unable to commit to it. If hard information turns out to be good, he will …