Showing 1 - 8 of 8
Most government expenditure is on goods that yield primarily private benefits, such as education, pensions, and healthcare. We argue that markets are most advantageous in areas where high-powered incentives are desirable, but in areas where high-powered incentives stimulate unproductive...
Persistent link: https://www.econbiz.de/10012468896
changes explain market dynamics, in an exercise similar to Shiller (1981). Given forecast revisions and price movements, we …
Persistent link: https://www.econbiz.de/10012481743
In the wake of the COVID-19 pandemic, the financial and legal system will need to deal with a surge of financial distress in the business sector. Some firms will be able to survive, while others will face bankruptcy and thus need to be liquidated or reorganized. Many surviving firms will need to...
Persistent link: https://www.econbiz.de/10012482323
senior tranche of an internationally diversified sovereign portfolio known as ESBies in the euro-area context. Finally …
Persistent link: https://www.econbiz.de/10012456680
When a bank experiences a negative shock to its equity, one way to return to target leverage is to sell assets. If asset sales occur at depressed prices, then one bank's sales may impact other banks with common exposures, resulting in contagion. We propose a simple framework that accounts for...
Persistent link: https://www.econbiz.de/10012460123
This paper develops the thesis that credit market frictions may be an important contributor to high unemployment in … market imperfections, so unemployment rises and remains high for an extended period. The data show that there has not been … industries is lower than in the U.S.. This suggests that although credit market imperfections are unlikely to have been the major …
Persistent link: https://www.econbiz.de/10012470798
In this paper, I develop a model to analyze how skill premia differ over time and across countries, and use this model to study the impact of international trade on wage inequality. Skill premia are determined by technology and the relative supply of skills. An increase in the relative supply of...
Persistent link: https://www.econbiz.de/10012471782
We document a change in the character and quality of Turkish economic growth with a turning point around 2007 and link this change to the reversal in the nature of economic institutions, which underwent a series of growth-enhancing reforms following Turkey's financial crisis in 2001, but then...
Persistent link: https://www.econbiz.de/10012457061