extent do these cross-border flows and global risk aversion drive asset volatility in emerging markets? We use a Dynamic … global risk aversion has a significant impact on the volatility of asset prices, while the magnitude of that impact …

study whether the demand for foreign currency loans is driven by a lack of knowledge about the exchange rate risk emanating … information on agents’ knowledge about exchange rate risk. Results show, first, that a majority of respondents is aware that … depreciations increase loan installments. Second, we find that knowledge about the exchange rate risk exerts a strong impact on the …

, global risk aversion and contagion. While there are ways to reduce the detrimental impact of balance sheet effects, these are …

country selection is incorporated into the strategies, but the risk of thestrategies increases proportionally. Second, we test …. We find no evidence of higher market risk or lower liquidity ofthe strategies. Instead, based on the developments of …

, so that the two can function as multivariate proxies for the tangency portfolio. We test this hypothesis in the Korean … test results …

-option channel, the demand side of the investment channel, and the precautionary channel. Finally, to understand the effects of …