judicial system. -- distressed debt ; insolvency ; financial crisis …This article reviews the origin and spread of the distressed debt problem in the transition region. We argue that while … the crisis was triggered abroad, the current high level of distressed debt in various transition countries mainly reflects …

This paper compares the equilibrium dynamics of an economy facing an aggregate collateral constraint on external debt … central finding of the paper is that the economy with the aggregate borrowing limit does not generate higher levels of debt …

This paper compares the equilibrium dynamics of an economy facing an aggregate collateral constraint on external debt … central finding of the paper is that the economy with the aggregate borrowing limit does not generate higher levels of debt …

With public debt soaring across the world, a growing concern is whether current debt levels are a harbinger of fiscal … true cost of debt may be overstated if interest rates remain low. To shed light into this debate, this paper re …-examines the importance of public debt as a leading indicator of fiscal crises using machine learning techniques to account for …

This paper develops a debt-run model to study the effects of liquidity injections on debt markets in the presence of a … terms of debt. We show that when equityholders have a large bargaining power, liquidity injections into distressed firms can … rather cause more aggressive runs from their creditors, hurting the debt value. This outcome occurs because equityholders can …