ecuritization performs two functions. One refers to the risk allocation between the bank and outside investors; the other consists of creating transferable/liquid securities. A key ingredient of liquid/claimtransferability is bankruptcy remoteness - the insolvency of the sponsor (the loan...

The remarkable increase in the real rate of interest all over the world and the appreciation of the dollar real exchange rate, toghether with the large fiscal stimulus from President Reagan's program has brought government deficits and their effects on the economy back to the foreground of the...

The Euro area has a unique monetary authority that governs money creation, but several individual-countries’ sovereign debts that differ in terms of safety. We analyse: i) the interactions between the financial and real sector in such an environment; ii) the role of government bonds as...