We examine the synchronization of European Union (EU) financial markets before and during the recent financial crisis. A DCC-GARCH framework captures dynamic correlations and a Markov-Switching framework captures regime changes. For the 27 nations of the EU, we formulate characteristics of the...

This study aims to critically analyze debt-incentivized corporate tax and financing policy and argues that the century old debt-equity distinction is responsible of global financial crisis (GFC) and financial instability. This study follows a systematic approach to solve the issue of...