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presented. The interaction between leverage and risk is discussed, and a modified capital adequacy ratio is calculated, which …
Persistent link: https://www.econbiz.de/10005263810
August to September 1998 has been characterized as one of the worst episodes of global financial distress in decades. This paper investigates the transmission of the Russian and the LTCM crises through global equity markets using a panel of 14 developing and industrial countries. The results...
Persistent link: https://www.econbiz.de/10005769188
liquid and “clean” capital markets—are evaluated. We find that emerging markets do not satisfy the preconditions for the …
Persistent link: https://www.econbiz.de/10005599477
The use of collateral has become one of the most widespread risk mitigation techniques. While it brings stabilizing effects to the individual lender we argue that it may exacerbate systemic risk through margin call activation. We show how a liquidity shock to the cash lender may propagate as a...
Persistent link: https://www.econbiz.de/10008671292
policy spillovers. Concerns that the end of QE2 could lead to a rapid reversal of emerging market capital flows appear …
Persistent link: https://www.econbiz.de/10011243769
makers around the world have to face a new environment. The resulting capital flows in emerging market economies were huge … and volatile. These flows have been intermediated through the banking sector (Phase One), and through the capital market … capital flows. The analysis in this monograph expands on the implications of such a trend for emerging Asia, where financial …
Persistent link: https://www.econbiz.de/10010890147
Persistent link: https://www.econbiz.de/10010878426
This staff report on People’s Republic of China 2013 Article IV Consultation highlights macroeconomic developments and outlook. China has maintained robust growth since the global crisis, but the heavy reliance on credit and investment to sustain activity is raising vulnerabilities. The...
Persistent link: https://www.econbiz.de/10011244201
India’s financial system compares favorably internationally, but rising credit risk and liquidity pressures are putting it under strain. The staff report for India’s 2008 Article IV Consultation discusses economic developments and policies. The authorities have already taken...
Persistent link: https://www.econbiz.de/10011244299
The slow-paced growth rate of the U.S. economy, notwithstanding the bolstering attempts is disheartening. Implementing financial reforms and highly accommodative monetary policy are hoped to have a desired effect. Deficit reduction, debt ratio stabilizing strategies, removal of fiscal cliff...
Persistent link: https://www.econbiz.de/10011244411