Aizenman, Joshua; Hutchison, Michael M.; Jinjarak, Yothin - 2011
Europe that, before the crisis (2007), were closest in terms of fiscal space (debt/tax). We find that PIIGS default risk is …We estimate the pricing of sovereign risk for a large number of countries within and outside of Europe, before and … zone countries, and the PIIGS in particular, as elsewhere in the world. We validate that fiscal space has been an important …