Found 7 article(s) for author 'Sovereign Debt'

Harvard’s Hausmann Asks JPMorgan to Cut Venezuela From Index

Harvard’s Hausmann Asks JPMorgan to Cut Venezuela From Index. Ricardo Hausmann, May 26, 2017, Video, “Harvard University economist Ricardo Hausmann is calling on JPMorgan Chase & Co. to remove Venezuela from its bond indexes so that investors whose portfolios track the gauges aren’t compelled to buy notes issued by a government accused of human-rights violations.Link

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Why Did Trump Accept Venezuela’s Money?

Why Did Trump Accept Venezuela’s Money? Kenneth Rogoff, May 4, 2017, Opinion, “There is a certain irony in recent news that Venezuela donated a half-million dollars to Donald Trump’s presidential inauguration through Petróleos de Venezuela (PDVSA), the state-owned oil company. Venezuela, of course, is a serial defaulter, having done so more times than almost any other country over the last two centuries.Link

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Fiscal Rules and Sovereign Default

Fiscal Rules and Sovereign Default. Laura Alfaro, February 2016, Paper. “We provide a quantitative analysis of fiscal rules in a standard model of sovereign debt accumulation and default, modified to incorporate quasi-hyperbolic preferences. For reasons of political economy or aggregation of citizens’ preferences, government preferences are present biased, resulting in over accumulation of debt. A quantitative exercise calibrated to Brazil finds welfare gains of the optimal fiscal policy to be economically substantial, and the optimal rule to not entail a countercyclical fiscal policy.Link

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Sovereign Debt and Financial Crisis: Theory and Historical Evidence

Sovereign Debt and Financial Crisis: Theory and Historical Evidence. Carment Reinhart, Kenneth Rogoff, October 2015, Paper. “This issue of the Journal of the European Economic Association presents papers from the October 2014 conference on Sovereign Debt Crises organized by Ṣebnem Kalemli‐Özcan, Carmen Reinhart, and Ken Rogoff. This project arose from the need to provide rigorous research on the topic. The so‐called ‘Great Contraction’ in the world’s advanced economies is the most severe and synchronized global financial crisis since the Great Depression. It has forced all concerned parties to reassess the roles played by public...Link

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This Time is Different: A Panoramic View of Eight Centuries of Financial Crises

This Time is Different: A Panoramic View of Eight Centuries of Financial Crises, Carmen M. Reinhart, Kenneth Rogoff, November 2014, Paper, This paper offers a “panoramic” analysis of the history of financial crises dating from England’s fourteenth-century default to the current United States sub-prime financial crisis. Our study is based on a new dataset that spans all regions. It incorporates a number of important credit episodes seldom covered in the literature, including for example, defaults and restructurings in India and China. As the first paper employing this data, our aim is to illustrate some of the broad insights that can be gleaned from such a sweeping historical database. We find that serial default is a nearly universal phenomenon as countries struggle to transform themselves from emerging markets to advanced economies. Link

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Financial Repression in the European Sovereign Debt Crisis

Financial Repression in the European Sovereign Debt Crisis. Victoria Ivashina , April 25, 2014, Paper. “By the end of 2013, the share of government debt held by the domestic banking sectors of Eurozone countries was more than twice its 2007 level. We show that this type of increasing reliance on the domestic banking sector for absorbing government bonds generates a crowding out of corporate lending. For a given domestic firm, new debt is less likely to be a loan—i.e., the loan supply contracts—when local banks have purchased more domestic sovereign debt and when that debt is risky (as measured by CDS spreads)…” Link Verified October 11, 2014

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Assessing pacification policy in Iraq: Evidence from Iraqi financial markets

Assessing pacification policy in Iraq: Evidence from Iraqi financial markets. Eric Chaney, 2008, Paper. “At the end of January, 2006 the Iraqi government issued roughly $2.7 billion of debt in exchange for over $20 billion of Saddam-era commercial claims. This paper uses variation in the yield spread of this sovereign debt to evaluate pacification policy in Iraq. Structural change models are run in conjunction with conventional event study analysis. Results detail a mixed market reaction towards pacification policies implemented through August, 2006…” May require purchase or user account. Link

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