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This interdisciplinary paper explains how mathematical techniques of stochastic optimal control can be applied to the recent subprime mortgage crisis. Why did the financial markets fail to anticipate the recent debt crisis, despite the large literature in mathematical finance concerning optimal...
Persistent link: https://www.econbiz.de/10003807893
In this paper we study the changes in corporate valuations induced by the adoption of the euro as the common currency … in Europe. We use corporate-evel data from ten countries that adopted the euro, the three EU countries that did not start … using the euro, as well as Norway and Switzerland. We show that the introduction of the euro has increased Tobin's Q …
Persistent link: https://www.econbiz.de/10001753268
Persistent link: https://www.econbiz.de/10001762189
of Economic and Monetary Union (EMU) in Europe. We use corporate-level data from ten countries that adopted the euro, the … three EU countries that did not join EMU, as well as Norway and Switzerland. We show that the introduction of the euro has … supports the view that the introduction of the euro has lowered firms' cost of capital by eliminating currency risks among the …
Persistent link: https://www.econbiz.de/10001693121
Die Landesregierung hat im August 2021 einen Entwurf für den Haushalt 2022 mit einem Volumen von 87,5 Mrd. Euro … Corona-Krise" aufgefangen, das mit einer Kreditermächtigung von bis zu 25 Mrd. Euro ausgestattet wurde. Mit der bisherigen … Planung ist der Rettungsschirm voll ausgeschöpft. Es fehlt eine Perspektive für eine stärkere Unterstützung der Kommunen im …
Persistent link: https://www.econbiz.de/10012649078
This paper quantifies the welfare differences among a monetary union, flexible exchange rates (economic disintegration) and a monetary plus fiscal transfer union (higher economic integration). The vehicle of analysis is a medium-scale New Keynesian DSGE model consisting of two heterogeneous...
Persistent link: https://www.econbiz.de/10011430977
consistent debt limits in the time after the introduction of the Euro. …
Persistent link: https://www.econbiz.de/10011441024
Are the characteristics of the exchange rate regime relevant for the degree of fiscal discipline? What are the conclusions for fiscal behavior in Europe after the transition to EMU? These are the central questions that are analyzed in this paper from a theoretical point of view. After a general...
Persistent link: https://www.econbiz.de/10011441669
In this paper we investigate the interplay between national rainy-day funds and supra-national transfers in a fiscal union. Given that the EU has established rules limiting deficits, national rainy-day funds could in theory provide a way for countries to obey the rules and use fiscal policy, yet...
Persistent link: https://www.econbiz.de/10011547700
Formal fiscal rules have been introduced in many countries throughout the world. While most studies focus on the intra-jurisdictional effects of fiscal rules, vertical effects on the finances of other levels of government have yet to be explored thoroughly. This paper investigates the influence...
Persistent link: https://www.econbiz.de/10011410014