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This paper analyzes the main sources of fiscal risks, including from unexpected changes in...

We model an economy in which domestic banks and firms face incentive constraints, as in Holmstrom...

Banks will want to influence the bank regulator to favor their interests, and they typically have...

We introduce local and foreign investors in a simple model of speculative attacks. Local...

Improving the effectiveness of financial assistance programs is a priority of international...

Until the recent financial crisis, the safety and soundness of financial institutions was...