Structural reforms and investments are the key drivers for the Italian economy. Banks can help Smes in their recovery process, acting as consultants and tutors in diversifying their financial sources. Securitization, minibonds, new funds, extension of collateral are important tools that...

In this article we develop a simple and stylised analytical framework, which is both tractable and feasible to estimate, capturing several key dimensions of the sovereign debt crisis in Europe. We use it to examine if and how a combination of fiscal consolidation, structural reform and financial...

Fiscal consolidation will go too far if it pushes the economy towards a ?bad equilibrium? with high and growing fiscal deficits and debt, high risk premia on sovereign debt, slumping economic activity and plummeting confidence. In this paper we examine the possible conditions under which fiscal...

In this paper we develop a simple analytical framework to analyze “good” and “bad equilibria” in public-debt and growth dynamics. The “bad equilibrium” is characterised by the simultaneous occurrence, and adverse feedbacks between, high and growing fiscal deficits and debt, high risk...

The Structural Foundations of International Finance examines the ways in which national economies, especially those of industrialized countries, are affected by the operations of international financial markets. Although these markets provide productive funding, there is also much speculative...

Pier Carlo Padoan and his distinguished group of contributing authors go beyond the common European-based debates to consider the impact of the euro as a global currency on the evolution of European labour, product, and regional markets.

The author examines the properties of a dynamic disequilibrium model focused on trade specialization and the accumulation of knowledge. Steady state analysis shows that: a) under perfectly balanced growth international diffusion of knowledge is irrelevant for growth; and b) under unbalanced...

Large shifts in countries’ external current account positions can be disruptive, often reflecting sudden stops in the flows of external finance and leading to exchange rate and banking crises. As a result, an empirical literature has emerged on the sustainability of, and the determinants of...

Over the recent past interest in regionalism has mushroomed, looking not only at trade but also at foreign investment, macroeconomic, political economy aspects and implications. However, technological regionalism, i.e. whether the process of technology accumulation and diffusion has a regional...