منابع مشابه
Essays on International Finance
I study the exchange rate disconnect puzzle in a two-country DSGE framework that features a financial intermediation sector. An intermediary is subject to two types of financing constraints: 1. a segmented deposit market restricted to local households, and 2. a balance-sheet constraint. These two constraints drive a wedge between marginal decisions of home and foreign intermediaries, which in t...
متن کاملLaw, Ethics, and International Finance
Cross-border financial flows can have dramatic effects on the recipients of the money—for good or for ill. This is particularly true in countries whose economies and capital markets are underdeveloped. A relatively small inflow of foreign capital into such a country can inflate valuations on a local stock exchange or allow the government to distribute pre-election largesse in the form of subsid...
متن کاملCapital, Finance and International Trade Collapse
This paper proposes a model of international trade with capital accumulation and nancial frictions. This is achieved by embedding the Melitz (2003) model into an incomplete-markets neoclassical framework with an endogenous credit market. The model preserves the analytical tractability of the original Melitz model. We use the model to examine the di¤erential e¤ects of nancial and non- nancial ...
متن کاملUsc Fbe Dept. Macroeconomics & International Finance Workshop
In the data country portfolios are heavily biased toward domestic assets. Standard onegood international macro models predict that, due to the presence of non-diversifiable labor income risk, country portfolios should be heavily biased toward foreign assets; this discrepancy constitutes the international diversification puzzle (Baxter and Jermann, 1997). We show that a simple extension of one-g...
متن کاملEssays on International Finance and Economics
The first essay explains why credit contracts in developing countries are often denominated in foreign currencies, even after many of these economies succeeded in controlling inflation. I propose a new interpretation based on the demand for insurance against real aggregate shocks. The fact that devaluations occur more frequently in adverse states of the world provides a motive for holding dolla...
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ژورنال
عنوان ژورنال: Journal of the Royal Statistical Society
سال: 1916
ISSN: 0952-8385
DOI: 10.2307/2340549