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The paper compares the boom-and-bust cycles in Japan and Europe with respect to the reasons for excessive booms, the characteristics of the crises, and the (potential) effects of the crisis therapies. As in Japan the consequence of expansionary monetary and fiscal policies is the hysteresis of...
Persistent link: https://www.econbiz.de/10013081055
Occasional crises have been shown to be part of growth enhancing mechanism (see Rancière, Tornell and Westermann, 2008). In this paper, we document that neither the stereotypical case study of India vs. Thailand, nor the benchmark growth-regression in this earlier research support this result...
Persistent link: https://www.econbiz.de/10012914607
We analyse the link between supply chains and the extent to which the Great Recession has affected national economies. Our analysis is in two steps, namely first for value added measures of supply chains and then for the Grubel-Lloyd index using gross-export data. Regarding value added measures...
Persistent link: https://www.econbiz.de/10012953709
During the Great Recession, despite the large fall in output, inflation did not fall much. This is known as the missing deflation puzzle. In this paper, we develop and estimate a New Keynesian Dynamic Stochastic General Equilibrium model to provide an explanation for the puzzle. The new model...
Persistent link: https://www.econbiz.de/10013019044
The ‘saving for a rainy day' hypothesis implies that households' saving decisions reflect that they can (rationally) predict future income declines. The empirical relevance of this hypothesis plays a key role in discussions of fiscal policy multipliers and it holds under the null that the...
Persistent link: https://www.econbiz.de/10013022495
Using data on Chinese large-scale overseas investment and project contracts by sector, we analyze whether Chinese outward activity (COA) before the crisis worsened or alleviated the contractionary phases in developing countries. We find that, on average, COA did not increase vulnerability to the...
Persistent link: https://www.econbiz.de/10012997245
literature does not offer conclusive evidence. Most existing studies use disaster data drawn from damage records of insurance … GDP. We build a comprehensive database of disaster events and their intensities from primary geophysical and … effect of disasters on growth. The worst 5% disaster years come with a growth damage of at least 0.45 percentage points. That …
Persistent link: https://www.econbiz.de/10013073607
research on the topic of disasters. As such, we choose to focus on two topics: price gouging, and post-disaster economic …
Persistent link: https://www.econbiz.de/10012964378
The Pacific Islands face the highest disaster risk, in per capita terms, globally. Examples of catastrophic events in … analysing the applicability of various financial instruments to facilitate both ex-ante and ex-post disaster risk management in …
Persistent link: https://www.econbiz.de/10012964696
We explore whether the global financial crisis has had heterogeneous effects on traded goods differentiated by quality. Combining a dataset of Argentinean firm-level destination-specific wine exports with quality ratings, we show that higher quality exports grew faster before the crisis, but...
Persistent link: https://www.econbiz.de/10013010482