Narrow search
Showing 1 - 10 of 240
Cover Image
The Eurozone needs exit rules
Fahrholz, Christian; Wójcik, Cezary - 2012
This paper argues that the key issue for defining and solving the Eurozone's (EZ) difficulties lies in readjusting the … essence of today's crisis we analyze to what extent a troubled periphery EZ member can negotiate a bailout from the center due …
Persistent link: https://www.econbiz.de/10010283606
Cover Image
The bail-out! Positive political economics of greek-type crises in the EMU
Fahrholz, Christian; Wójcik, Cezary - 2010
The Greek bail-out was highly controversial. An oft-heard assessment is that i) the bail-out was a mistake, ii) the … political haggling over it was irrational and iii) the bail-out will create a moral hazard problem. Contrary to this view, our … analysis suggests that, given EMU's present political-economic set-up, i) the bail-out was unavoidable, ii) the lengthy process …
Persistent link: https://www.econbiz.de/10010274897
Cover Image
The Greek crisis: Causes and consequences
Garcia Pascual, Antonio I.; Ghezzi, Piero - 2011
Greece has reached a point where, under any plausible macroeconomic scenario, public debt will continue growing faster than GDP. Fiscal consolidation alone cannot close the solvency gap. A substantial reduction in the stock of debt is needed. Even post-debt restructuring, there is no guarantee...
Persistent link: https://www.econbiz.de/10010280648
Cover Image
Bank bailouts, international linkages and cooperation
Niepmann, Friederike; Schmidt-Eisenlohr, Tim - 2011
Financial institutions are increasingly linked internationally. As a result, financial crisis and government intervention have stronger effects beyond borders. We provide a model of international contagion allowing for bank bailouts. While a social planner trades off tax distortions, liquidation...
Persistent link: https://www.econbiz.de/10010274723
Cover Image
Financial contagion and the European debt crisis
Missio, Sebastian; Watzka, Sebastian - 2011
Since the beginning of 2010, the Euro Area faces a severe sovereign debt crisis, now generally known as the Euro Crisis. While the Euro Crisis has its origin in Greece, problems have now spread to several other European countries as well. Dynamic conditional correlation models (DCC) are...
Persistent link: https://www.econbiz.de/10010277409
Cover Image
A fragile Eurozone in search of a better governance
De Grauwe, Paul - 2011
self-fulfilling multiple equilibria arise. I analyze the implications of this fragility for the governance of the Eurozone …
Persistent link: https://www.econbiz.de/10010285539
Cover Image
Sovereign rating news and financial markets spillovers: Evidence from the European debt crisis
Arezki, Rabah; Candelon, Bertrand; Sy, Amadou - 2011
This paper examines the spillover effects of sovereign rating news on European financial markets during the period 2007-2010. Our main finding is that sovereign rating downgrades have statistically and economically significant spillover effects both across countries and financial markets. The...
Persistent link: https://www.econbiz.de/10010275006
Cover Image
Predictive ability of business cycle indicators under test: A case study for the euro area industrial production
Carstensen, Kai; Wohlrabe, Klaus; Ziegler, Christina - 2010
In this paper we assess the information content of seven widely cited early indicators for the euro area with respect to forecasting area-wide industrial production. To this end, we use various tests that are designed to compare competing forecast models. In addition to the standard...
Persistent link: https://www.econbiz.de/10010270868
Cover Image
The impact of fiscal rules on public finances: Theory and empirical evidence for the Euro area
Marneffe, Wim; van Aarle, Bas; van der Wielen, Wouter; … - 2010
This paper presents a review of the most significant fiscal rules policymakers can choose from. The insights from this review are then applied to the current budgetary situation of the European Union. In the European Union, the supranational Stability and Growth Pact (SGP) should provide the...
Persistent link: https://www.econbiz.de/10010274725
Cover Image
Loan supply shocks during the financial crisis: Evidence for the Euro Area
Hristov, Nikolay; Hülsewig, Oliver; Wollmershäuser, Timo - 2011
This paper employs a panel vector autoregressive model for the member countries of the Euro Area to explore the role of banks during the slump of the real economy that followed the financial crisis. In particular, we seek to quantify the macroeconomic effects of adverse loan supply shocks, which...
Persistent link: https://www.econbiz.de/10010274998