One of the main reasons the economic and financial crisis, which began in 2007, became so severe was that the banking sectors of many countries had built up excessive on- and off-balance sheet leverage. This was accompanied by a gradual erosion of the level and quality of the capital base. At...

Based on the authors’ empirical results, using the Extreme Value theory, they conclude that stock market performance, particularly in times of vulnerabilities, does contain some information which may signal an impending crisis. This signal can be within the same month up to between 1- 3 months...

Can a research and training institute excel in both research (R) and training (T) by crafting a “synergistic relationship” to produce what Aristotle would say “the whole is greater than the sum of its parts”? Interest in integrating research (R) and training (T) took a leap frog with the...

Most of the developing countries in the past were striving to maintain a comfortable level of foreign exchange reserves sufficient to cover imports of goods and services. These days, several emerging economies hold a high volume of foreign exchange reserves. This paper reviews the foreign...

The Second Volume of the Journal comprises four outstanding original articles from renowned experts, namely Mr. Stefan Ingves, Governor of the Riksbank and Chairman of the Basel Committee on Banking Supervision; Mr. Gerald Edwards, Jr., a long-time Chief Accountant of the U.S. Federal Reserve...

The paper discusses a possible policy strategy towards achieving an investment grade status for emerging economies. Through the use of an econometric model, it determines which among the macroeconomic variables considered by Credit Rating Agencies (CRAs) impacts speculative and investment grade...

With revolutionary changes of the financial environment, due in particular to the progress of information and communication technology and the aftermath of the global financial crisis, central banks are facing new challenges in the pursuit of price, financial and exchange rate stability. This...

This paper investigates the impact of interest rate policy on employment using Korean data (1982.1/4~2012.4/4). Based on the analyses of impulse response functions, it was found that interest rate policy has a bigger impact on the cyclical component of employment than on total employment. The...

This paper analyzes the effects of the trade and financial networks on the propagation of the global financial crisis of 2008. We adopt a new methodology that incorporates a dynamic network approach into econometric analysis. Some interesting results are obtained. Firstly, both the trade and...

Financial Market Infrastructures (FMIs) play a critical role in the financial system and the broader economy by facilitating the clearing, settlement and recording of monetary and other financial transactions and thereby maintaining and promoting financial stability and economic growth. However,...