This paper highlights the spread of banking panics across countries, as the public reassesses governments' propensity to bailouts. Policymakers decide whether to rescue a failing banking sector, by weighing the costs of a collapse against the costs associated with raising taxes to finance a...

The paper argues that the factors that determine treatment priority in socialized medicine, namely gravity of complaint and patient “importance†are similar to those that determine whether or not a frail banking system will be bailed out in a fixed exchange rate regime.

This paper highlights the spread of banking panics across countries, as the public reassesses governments' propensity to bailouts. Policymakers decide whether to rescue a failing banking sector, by weighing the costs of a collapse against the costs associated with raising taxes to finance a...

This paper focuses on the transmission of bank liquidity shocks in Loan and deposit in emerging markets. First, we attempt to identify the factors that affect the credit strategy of foreign banks in emerging countries. Second, we test whether depositors do exert market discipline on foreign...

This study investigates the feasibility of a monetary union in the Southern African Development Community (SADC) by testing for inflation convergence for 11 members. Quarterly data over the period 1992:3 – 2001:4 are employed. Various panel unit root tests are applied to test whether the...

This paper investigates the Feldstein-Horioka coefficients and legal origins for 37 African countries using the recently developed panel cointegration techniques. The empirical findings reported in the paper reveal that savings and investment are nonstationary and cointegrated series. The...

In this paper we perform the stationarity test on the Japanese-yen based real exchange rate of major trade partners of Japan, and we investigate the existences of relative PPPs with these countries and areas. The empirical analyses support that relative PPPs with the United States, Germany (with...

This paper examines the validity of both the short-run and long-run purchasing power parity (PPP) hypotheses in the case of the Yen-Dollar exchange rate using two estimation methods, namely, a unit root test and an Autoregressive Distributed Lag (ARDL) cointegration test. Some important findings...

During the financial crisis of 2008, the currencies of Latin America faced pressure to devalue— which evoked memories of the “contagious†crises of the 1990s. Yet even between crises, domestic macroeconomic factors can have an impact on a country's exchange market. This study...

Most empirical works have focused on the effects of foreign direct investment (FDI) to exports and other economic performance indicators, whereas its impacts to profit outflows has been relatively neglected. This paper investigates the nature of the causal relationship between FDI and profit...