This paper studies how the lender structure of external debts affects open economies' credit conditions via a model with heterogeneous lenders of different sizes. While atomic lenders take the collateral price as given, large lenders internalize the pecuniary externality whereby selling...

A measure of the degree of debt monetisation is constructed for its impact on the business cycle to be studied in a standard VAR model. Debt monetisation is hardly expansionary, as it raises public demand that crowds out almost as much demand from the private sector. However, it generates...

If emerging markets are to achieve their objective of joining the ranks of industrialized, developed countries, they must use their economic and political influence to support radical change in the international financial system. This working paper recommends John Maynard Keynes's "clearing...

A Opening Addresses -- I International Lending in a Fragile World Economy -- II International Lending in a Fragile World Economy: The Point of View of a Commercial Banker -- III International Lending in a Fragile World Economy: A Supervisory Perspective -- B The Growth of International Lending:...