This paper develops a model of a representative transition economy to explain the stylised facts of output declines and real exchange rate appreciation in the early stages of transformation. These facts can be explained by supply-side shocks, interest rate liberalisation or a reduction in core inflation. The policy implication is that price liberalisation in advance of financial liberalization ...

Interdependence among nations has been on the rise since the last century and is rapidly increasing in this era of globalization and liberalization of economies. The trans -country flows are in all areas includ ing financial capital, human resources, tradable commodities, environmental resources and services, and intellectual property. This international interdependence has contributed to signi...

In this paper we analyse the impact of financial liberalization and reforms on the banking performance in 17 countries from CEE for the period 2004-2008 using a two-stage empirical model that involves estimating bank performance in the first stage and assessing its determinants in the second one. From our analysis it results that banks from CEE countries with higher level of liberalization and ...

Using a novel database of domestic financial reforms in 90 countries from 1973 to 2014, we document that global liberalization followed an S-curve path: were slow and gradual early periods, accelerated during the 1990s, slowed down after 2000. We estimate learning model explains these dynamics. Policymakers updated their beliefs about growth effects by own other countries' experiences. Positive...

This paper shows that there are endogenous financial constraints arising from trade liberalization. Banks with a large share of loans on firms exposed to competition China suffer an increase in non-performing and reduce their credit capacity. The drop supply affects both directly import-competition China, firm expected expand upon liberalization, economically relevant implications terms employm...

Electronic commerce and its related activities over the internet can be the engines that improve domestic economic well-being through liberalization of domestic services, more rapid integration into globalization of production, and leap-frogging of available technology. Electronic commerce integrates the domestic and global markets from its very inception. Negotiating on trade issues related to...

Recent developments in the global liberalization of equity and currency markets, coupled to advances in trading technologies, are making markets increasingly interdependent. This increased fluidity raises questions about the stability of the international financial system. In this paper, we show that as couplings between stable markets grow, the likelihood of instabilities is increased, leading...

The Trans-Pacific Partnership Agreement (TPPA) involves twelve Pacific Rim economies of varying sizes and structures. Although often portrayed as a free trade agreement, the TPPA can, at best, be expected to deliver paltry overall growth gains from trade liberalization. The much higher figures touted by TPPA advocates are largely due to dubious ‘non-trade measures’, most of which have been reje...