-Border Financial Flows -- Edwin Truman -- Part II: Iceland and the 2008 Global Crisis -- 10. From a Capital Account Surplus to a …”- Gauti Eggertsson, Sigridur Benediktsdottir and Eggert T Thorarinsson -- 12. Iceland’s capital controls -- Fridrik M … economic collapse- Tinna Asgeirsdóttir -- 16. Ten years after: Iceland’s unfinished business -- Thorvaldur Gylfason -- 17 …

Iceland has developed an oversized banking system - with assets valued at 8 times its GDP - which has effectively … exposed to the current crisis. The lender of last resort in Iceland would not be able to save even one of the large domestic … foreign assets as a cushion (Switzerland). By contrast, Iceland's extremely high net foreign debt ratio adds to the …