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Chapter 1: Review of the Neoclassical Theory of Capital Flows and Related Empirical -- Chapter 2: The Lucas Paradox … neoclassical theory – a puzzle known as the Lucas paradox. Further, the book reviews alternative approaches to conventional …
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The introduction of the euro marks a milestone in the process of European financial market integration. This paper analyzes the implications of the euro for cross-border banking activities. A portfolio model is used which captures the role of banks as providers of informational and of...
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