Global risk and risk aversion shocks have distinct distributional impacts on emerging market capital flows and returns …. In particular, we find salient consequences of these different global shocks for tail risk in emerging markets. Open …

We characterize how risk evolves during a crisis. Using high-frequency data, we find that the first two principal … different, the risk dynamics share remarkably common features: PC1 shocks come solely from asset volatility, while PC2 shocks …, we provide novel identification of risk dynamics by linking these changes to news about the virus and epidemiological …

Foreign investors' changing appetite for risk-taking have been shown to be a key determinant of the global financial … cycle. Such fluctuations in risk sentiment also correlate with the dynamics of UIP premia, capital flows, and exchange rates …. To understand how these risk sentiment changes transmit across borders, we propose a two-country macroeconomic framework …

for wealthier and less risk-averse households …

real effects. The total real impact of shock transmission through multinationals on foreign economies was large …

for Brazil, Chile, and Mexico; risk tolerance for Argentina, Costa Rica, and Peru …

draw inaccurate conclusions about emerging economies' monetary policy cyclicality due to inherent risk premia in those …