External Finance, Sudden Stops, and Financial Crisis : What is Different This Time?

What is Different This Time?

External Finance, Sudden Stops, and Financial Crisis : What is Different This Time?
This paper develops a two-country DSGE model to investigate the transmission of a global financial crisis to a small open economy. We find that economies hit by a sudden stop arising from financial distress in the global economy are likely to face a more prolonged crisis than sudden stop episodes of domestic origin. Moreover, in contrast to the READ MORE...

Publication date: July 2010
ISBN 9781455201419
$18.00

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