The Federal Reserve re-established a swap line with the European Central Bank in response to the international liquidity stresses created by the euro area sovereign debt crisis. We examine the swap line's effectiveness in addressing these stresses in 2010–11. We find that announcements about...

We examine the impact of the global financial crisis on the degree of international income and consumption risk-sharing among industrial economies using returns on cross-border portfolio holdings (e.g., debt, equity, FDI). We split the returns from the net foreign holdings as receipts (inflows)...

How to keep Chinese economy’s high growth rate in a long run toward the fully modernized era of China is the major topic of this paper. This letter will develop some theories as a guidance of Chinese economic reforms and development and show the necessary reforms and strategies for long term...

This paper addresses two main questions: first, what is the scope for domestic and external market-based financing of Croatia’s government budget deficit; and second, what is the scope for expansionary fiscal policy in Croatia. Both questions are addressed from a broader Central and Eastern...

Propagation of financial crises and limit their impact is a concern of many economists. Work studies about contagion occurred primarily through information correlation or liquidity. The information channel related to price changes in one market is perceived to have implications on other market...

This study investigates the degree of economic integration that the group of selected South East European countries have achieved with the euro area. The evidence of this study suggests that all four selected South East European economies are in sync with the euro area cycle, and respectively...

The global financial crisis hit the economies of most commodities exporting countries of Sub-Sahara Africa (SSA) mainly through trade and commodities prices collapse. Theoretical and empirical literature postulates debilitating effects of these on growth, poverty and sustainable development...

This paper investigates whether cointegration and causality relationships exist among the stock markets of the Portugal, Italy, Ireland, Greece and Spain (PIIGS) countries during the period 2005 to 2011. To accomplish our objective, we divide the sample period into two sub-periods (1 February...

The aim of this paper is to analyse the impact of both firm-specific and external factors on the risk taking of European insurance companies. The extent of risk taking is quantified through variations in stock prices and these are explained by firm-specific and external factors that proxy the...

This paper investigates the existence and possible changes of day-of-the-week effect before and during the 2008 financial crisis. We use six regional equity markets of varying degrees of maturity. While for the sample period Bulgaria, Romania, Cyprus and Ukraine are clearly considered emerging...