This paper presents new evidence on the importance of insolvency frameworks for private sector debt deleveraging and … for the resolution of non-performing loans (NPL). We construct an aggregate insolvency framework index (IFI), which is …, our results indicate that better insolvency frameworks lead to faster NPL reductions and to lower NPL increases during …

Using microdata from a U.S. household survey, we document that immigrants who lived through a sovereign default episode … the same foreign country but who did not experience a default. Conditional on holding debt, consumers in the former group … default increases with family size and declines with education. These findings highlight the role of personal experience in …