. The aim is to highlight the “time-space dynamics” of contagion, i.e., if the CDS spread of bank i depends on the CDS … can be interpreted as an index of the degree of cross-sectional spillovers. The findings highlight that the Eurozone banks … have strong spatial dependence in the evolution of CDS spread, namely the contagion effect is present and persistent …

terms of lower crisis doom loop effects as contagion effects increase. …