Showing 61 - 70 of 639,151
Persistent link: https://www.econbiz.de/10014304257
Persistent link: https://www.econbiz.de/10012543257
Persistent link: https://www.econbiz.de/10003343679
"This paper explores sources of deposit dollarization unrelated to standard moral hazard arguments. We develop a model in which banks choose the optimal currency composition of their liabilities. We argue that the equal treatment of peso and dollar claims in the event of bank default can induce...
Persistent link: https://www.econbiz.de/10001751987
Persistent link: https://www.econbiz.de/10000990655
This paper presents a portfolio model of financial intermediation in which currency choice is determined by hedging decisions on both sides of a bank’s balance sheet. Minimum variance portfolio (MVP) allocations are found to provide a natural benchmark to estimate the scope for dollarization...
Persistent link: https://www.econbiz.de/10014400674
Banks in developing economies often face a mismatch in the currency denomination of their liabilities (foreign currency denominated debt) and assets (domestic currency loans to domestic borrowers). We study the effect of this mismatch on business cycles and monetary policy in a sticky-price,...
Persistent link: https://www.econbiz.de/10014399644
Persistent link: https://www.econbiz.de/10000891421
Persistent link: https://www.econbiz.de/10000339286
Persistent link: https://www.econbiz.de/10003778147