Showing 1 - 10 of 112
–2009 crisis. Using bank-level data for countries in Eastern Europe and Latin America, we analyze the growth of banks’ total gross … Europe and Latin America contracted their loan growth rates during the crisis, there are notable differences in foreign and …-owned banks’ corporate and consumer loans during the crisis exceeded that of domestic and foreign banks. Contrary to the case of …
Persistent link: https://www.econbiz.de/10011065720
Financially distressed economies inside the European Union (EU) are being blamed for producing a general increase in borrowing costs. This article analyzes the channels of default risk transmission within the EU countries using the information content in the sovereign Credit Default Swap (CDS)...
Persistent link: https://www.econbiz.de/10010666266
This paper investigates banking and sovereign distress in the Eurozone and the importance of direct and indirect financial exposures. We use BIS cross-border banking claims to link member states in a GVAR framework and jointly model sectoral CDS premia. Based on balance sheet positions of an...
Persistent link: https://www.econbiz.de/10010709500
Using a broad set of news reports about the Greek sovereign crisis, we tested for the impact of the troika bailout … prevent the financial crisis from turning into a real crisis. The actions of the Greek Government only significantly increased …
Persistent link: https://www.econbiz.de/10011118047
of the crisis given cooperative mechanisms that were absent in Latin America, particularly the availability of massive …
Persistent link: https://www.econbiz.de/10011065621
In this paper we modify and extend the framework of Diebold and Yilmaz (2011) to quantify spillovers between sovereign credit markets and banks in the euro area. Spillovers are estimated recursively from a vector autoregressive model of daily changes in credit default swap (CDS) spreads with...
Persistent link: https://www.econbiz.de/10010753672
against the common view that SMEs suffered from a strong credit restriction during the crisis but is perfectly in line with …
Persistent link: https://www.econbiz.de/10011065619
Loan performance of subprime originations during the boom years of 2004–2006 is contrasted with that of subprime originations during the early period of 2000–2002. A counterfactual technique is developed to determine how originations during the early period would perform in a different...
Persistent link: https://www.econbiz.de/10011065627
The Central European banking industry is dominated by foreign-owned banks. During the recent crisis, for the first time … comprehensive data set, we find that the recent crisis did not change the sensitivity of deposit growth rates to accounting risk …
Persistent link: https://www.econbiz.de/10011065689
Systemic banking crises have placed enormous pressure on national governments to intervene. The empirical literature, however, is inconclusive on what an optimal bailout program should look like to mitigate the negative consequences of government interventions in the banking sector. We find...
Persistent link: https://www.econbiz.de/10010907114