One of the main economic villains before the crisis was the presence of large “global imbalances.” The concern was that the U.S. would experience a sudden stop of capital flows, which would unavoidably drag the world economy into a deep recession. However, when the crisis finally did come,...

The purpose of the study is two-fold. First, it examines whether Internet usage converges across the geographical space comprising the European Union and Central and Eastern Europe (CEE). Second, it aims to expand the currently rather limited empirical evidence on the determinants of Internet...

Financial globalization has gathered attention since the early 1990s because of its macro-financial and crisis implications and its perceived large expansion. But financial globalization has taken different forms over time. This paper examines two important concurrent dimensions of financial...

We examine whether international capital flows affect local market liquidity, and vice versa. We estimate vector autoregressions with monthly U.S. equity portfolio flows and local stock market liquidity and returns for 46 countries in six regions over 1995-2008. We find that flows to developed...

Katharina Pistor proposed the Legal Theory of Finance (LTF), based on the premise that finance is legally constructed (Pistor, 2013b). In this paper, we apply network science to provide empirical evidence from global financial networks (GFN) to support the argument of the LFT. Using data from...