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This paper uses a dynamic panel approach to explain the determinants of widening sovereign bond yield spreads vis-à-vis Germany in selected euro area countries during the period end-July 2007 to end-March 2009, when the financial turmoil developed into a full-blown financial and economic...
Persistent link: https://www.econbiz.de/10011605177
This Working Paper examines options for the design of a workable fiscal union for the euro area. It provides a comparative study of fiscal institutions in the US and euro area in order to supply lessons from the operation of the US fiscal regime that could inform the design of the, hitherto...
Persistent link: https://www.econbiz.de/10014565910
The Eurozone crisis has been reinforced and prolonged by leaders' inability to agree on robust and credible crisis … responses. Individual governments are experiencing sovereign deficit and debt crises, but not the Eurozone at large. Its fiscal … position is manageable. The Eurozone is rather going through a crisis of the sovereign - or a crisis of government. Too many of …
Persistent link: https://www.econbiz.de/10011790255
On 5-6 September 2012 SUERF held its 30th Colloquium “States, Banks, and the Financing of the Economy” at the University of Zürich, Switzerland. The papers included in this SUERF Study are based on contributions to the Colloquium. All the chapters in this publication discuss from different...
Persistent link: https://www.econbiz.de/10011689958
We assess the role of financial linkages for the transmission of sovereign risk in the Euro Crisis. Building on the narrative approach by Romer and Romer (1989), we use financial news to identify structural shocks in a VAR model of daily sovereign CDS for eleven European countries. To estimate...
Persistent link: https://www.econbiz.de/10011430097
This paper assesses the role of sovereign risk in explaining macroeconomic fluctuations in Turkey. We estimate two versions of a simple New Keynesian small open economy model on quarterly data for the period 1994Q3-2008Q2: A basic version and a version augmented by a default premium on...
Persistent link: https://www.econbiz.de/10010325979
deficits on interest spreads contained in bond yields of the countries now belonging to the Eurozone. Deficits significantly …
Persistent link: https://www.econbiz.de/10010295824
Recently, the advantage of country diversification relative to sector diversification has been questioned especially against the background of the European monetary and financial integration. Correct estimates of the correlation matrix are central for the evaluation of the relative...
Persistent link: https://www.econbiz.de/10011506570
quasi-fiscal rescue operations can undermine this consensus and lead to a disintegration of the Eurozone. There are also …
Persistent link: https://www.econbiz.de/10011430901
? Stefan Homburg, Universität Hannover, ist skeptisch. Seiner Ansicht nach steckt die Eurozone in einer Zwickmühle. Etliche … Wirtschaftswachstum in Südeuropa, das aber unrealistisch sei. Wer die Lage der Eurozone nüchtern betrachte, müsse angesichts der Zunahme …
Persistent link: https://www.econbiz.de/10011693685