We develop a theoretical framework that encompasses four distinct motives for dollarization and discuss appropriate policy responses to help contain dollarization and its attendant risks. "Moral hazard" dollarization provides a clear case for prudential policy activism. However, prudential...

Rapid private sector credit growth in the Middle East, North Africa, and Central Asia has been a result of strong economic growth, financial deepening, and banks’ willingness to explore consumer credit markets. Economic growth, the initial ratio of private sector credit to GDP, price...

Using a unique dataset with information on the currency composition of firms' assets and liabilities in six Latin-American countries, I investigate how the choice of exchange rate regime affects firms' foreign currency borrowing decisions and the associated currency mismatches in their balance...

During the 1990s the Greek economy has flourished, with the help of the banking system, which, at the same period, has undergone considerable deregulation. The stock market “explosion” at the end of the decade has provided the necessary funds for the expansion of many Greek Banks in various...

Using an innovative approach of following the downgrade or credit rating decisions by rating agencies, this paper develops an early-warning system of bank financial distress and critically evaluates the reliability and stability of the potential indicators or factors of banks in 13 emerging...

This recession is different. The balance sheets of consumers, companies and banks are under pressure. The private sector seeks to reduce its debt and this counteracts the Keynesian stimulus more than what the usual flow calculations would suggest. There is no doubt that the deleveraging of banks...

Given that the economic rebound recorded in 2004 did not carry on in 2005, the performance of industrial firms levelled off; nevertheless, cash flows were under control and balance sheets remained healthy.

There has been much recent research on the world distribution of income, but also growing recognition of the importance of other contributions to well-being, including those of household wealth. Wealth is important in providing security and opportunity, particularly in poorer countries that lack...

На примере бухгалтерских книг Франческо Датини и Джованни Фаролфи рассматриваются первые расчеты амортизации в условиях двойной бухгалтерии.

Purpose – Barton and Simko argue that the balance sheet information would serve as a constraint on accrual-based earnings management. This paper aims to extend their argument by examining whether the balance sheet constraint increases managers' propensity to use either downward forecast...