Showing 1 - 10 of 387
There is an increasing need for a system of international lending of last resort (ILLR) to provide a safety net in the event of financial crises in vulnerable countries as financial globalization deepens and spreads. Multilateral progress to address liquidity and solvency crises has been patchy...
Persistent link: https://www.econbiz.de/10010943628
The paper explores the incidence of sudden stops in capital flows on the incentives for building national institutions that secure property rights in a world where sovereign defaults are possible equilibrium outcomes. Also the paper builds upon the benchmark model of sovereign default and direct...
Persistent link: https://www.econbiz.de/10010943653
This paper discusses the ways in which macroeconomic developments can put stress on banks, and in extreme cases lead to banking crises. These macroeconomic causes of bank vulnerability and crisis have important implications for regulatory regimes, and for macroeconomic policy itself. Much of the...
Persistent link: https://www.econbiz.de/10010943669
This paper explores the impact of international financial integration on credit markets in Latin America, using a cross-country dataset covering 17 countries between 1996 and 2008. It is found that financial integration amplifies the impact of international financial shocks on aggregate credit...
Persistent link: https://www.econbiz.de/10010943671
The basic worldwide financial safety net architecture provides for a system of similar institutions: a lender of last resort, deposit insurance, and prudential regulation. In countries whose banking systems suffer seriously from negative capital positions and overbanking, such as in some Latin...
Persistent link: https://www.econbiz.de/10010943679
Financial stability is an important policy objective, since crises are associated with large economic, social and political costs. This paper contributes to the discussion by providing new theoretical and empirical evidence on the causal connection between lack of exposure to commercial trade...
Persistent link: https://www.econbiz.de/10010943687
We suggest that foreign banks may represent a trade-off for their developing country hosts. A portfolio model is developed to show that a more diversified international bank may be one of lower, overall risk and less susceptible to funding shocks but may react more to shocks that affect expected...
Persistent link: https://www.econbiz.de/10010943703
This paper analyzes capital inflow surges in emerging economies from 1980 to 2005. Estimated probit models are used, which discriminate well between surges associated with banking crises or recessions, and those surges that end without such events. The results indicate that the composition of...
Persistent link: https://www.econbiz.de/10010943706
This study assesses macroeconomic volatility in Costa Rica, based largely on politically weak governments' inability or unwillingness to effect key reforms. Notable problems include volatility-prone fiscal and monetary policy, structurally weak public finances due to large domestic debts and...
Persistent link: https://www.econbiz.de/10010943707
This paper presents a conceptual framework for explaining Credit Unions (CUs) loan delinquency and profitability in developing countries. It also offers an empirical estimation for a unique sample of CUs in Latin America.
Persistent link: https://www.econbiz.de/10010943727