While a number of emerging market crises were characterized by widespread contagion during the 1990s, more recent … whether contagion might have become a feature of the past, with markets now better discriminating between countries with good … and bad fundamentals. This paper argues that a prudent working assumption is that contagion has not vanished permanently …

-country contagion. The effects of rating and outlook changes are stronger during crises, in nontransparent economies, and in neighboring …