In this paper, we examine theoretically how corporate saving in emerging markets is contributing to global rebalancing. We consider a two-country dynamic general equilibrium model, based on Bacchetta and Benhima (2014), with a Developed and an Emerging country. Firms need to save in liquid...

During the crisis, it became evident that the kind of capitalism that was becoming dominant in the developed world over the last twenty or thirty years, so-called it financial capitalism, was the cause of crisis or at least it cannot completely exculpate itself. The growth in debts, credits,...

This paper investigates whether regulatory capital requirements play an important role in determining banks’ equity capital. We estimate equity capital regressions using panel data of a sample of 560 banks for 2004–2010. Our results suggest that regulatory capital requirements are not first...

During the 2007–2009 financial crisis, US subprime mortgage risk exposures led to severe liquidity problems in several other foreign markets. Such risk contagion was caused by enormous changes in interest rates. Although risk contagion has been investigated by several literatures, the...

In recent decades, institutions that function much like traditional banks have grown outside regulatory oversight. Yet, as Daniel Sanches explains, these so-called shadow banks are as vulnerable to runs as regular banks. Because banking crises can inflict lasting economic harm, economists are...

In this article, the author characterizes the financial crisis in Portuguese football on the basis of data published by Deloitte and Touche in its annual reports on the financial ramifications of the sport in Portugal. A strategy to be applied to the case, with a view to improving the clubs'...

Currently, professional football in Europe is in a deep financial crisis. Amidst the five major European leagues (England, France, Germany, Italy, Spain), only France is not in a bad situation despite this country suffering from a low level of the demand from fans and a weakness in the urban...

This paper examines East Asian equity market linkages in and out of the Asian and global financial crises using a novel econometric approach. The market dependence structure and shock transmission mechanism are explored spatially in the time domain, thus offering new insights into the dynamic...

This paper analyzes the effect of the removal of government guarantees on bank risk taking. We exploit the removal of guarantees for German Landesbanken which results in lower credit ratings, higher funding costs, and a loss in franchise value. This removal was announced in 2001, but...

This article outlines the issue of the influence of the described crisis on the functioning of the oldest and biggest stock exchanges.