Is Banks’ Home Bias Good or Bad for Public Debt Sustainability?

Is Banks’ Home Bias Good or Bad for Public Debt Sustainability?
Motivated by the recent increase in domestic banks' holdings of domestic sovereign debt(i.e., home bias) in the European periphery, this paper analyzes implications of banks'home bias for the sovereign's debt sustainability. The main findings, based on a sample ofadvanced (AM) and emerging market (EM) economies, suggest that home bias... READ MORE...

Publication date: February 2015
ISBN 9781498323505
$18.00

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