periods of financial deregulation and/or innovation. Finding also some support for a link of countries' pre-crisis monetary … stance with the extent to which their financial sectors were hit during the recent crisis, the paper argues that …) unwinding of which helped trigger the recent financial market crisis. …

The paper analyzes the integration of euro area sovereign bond markets during the European sovereign debt crisis. It … identification. The paper finds that euro area government bond markets were well integrated prior to the crisis, but saw a … substantial fragmentation from 2010 onward. Flight to quality was present at the height of the crisis, but has largely dissipated …