Balance sheet effects, bailout guarantees and financial crises

Review of Economic Studies

Volumn 71, Issue 3, 2004, Pages 883-913

  Schneider, Martin ^a   Tornell, Aaron ^a  

^a UNIVERSITY OF CALIFORNIA   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

BALANCE OF PAYMENTS; CURRENCY MARKET; FINANCIAL CRISIS; THEORETICAL STUDY;

EID: 3843151725     PISSN: 00346527     EISSN: None     Source Type: Journal    
DOI: 10.1111/j.1467-937X.2004.00308.x     Document Type: Article

References (27)

1. AGHION, P., BACHETTA, P. and BANERJEE, A. (2000a), "Capital Markets and the Instability of Open Economies" (Working Paper, Study Center Gerzensee).
2. AGHION, P., BOLTON, P. and DEWATRIPONT, M. (2000b), "Contagious Bank Failures in a Free Banking System, European Economic Review, 44 (4-6), 713-718.
3. BANK FOR INTERNATIONAL SETTLEMENTS (1998), Report of the Working Group on International Financial Crises, Basle.
4. BERNANKE, B. and GERTLER, M. (1989), "Agency Costs, Collateral and Business Fluctuations", American Economic Review 79, 14-31.
5. BERNANKE B., GERTLER, M. and GILCHRIST, S. (2000), "The Financial Accelerator in a Quantitative Business Cycle Framework", in Handbook of Macroeconomics (North-Holland).
6. BURNSIDE, C., EICHENBAUM, M. and REBELO, S. (2001), "Prospective Deficits and the Asian Currency Crisis", Journal of Political Economy, 109, 1155-1197.
7. CABALLERO, R. and KRISHNAMURTHY, A. (2001), "International and Domestic Collateral Constraints in a Model of Emerging Market Crises", Journal of Monetary Economics, 48, 513-548.
8. CALVO, G. (1998), "Capital Flows and Capital Market Crises: The Simple Economics of Sudden Stops", Journal of Applied Economics, 1 (1), 35-54.
9. CAPRIO, G., SAUNDERS, A. and WILSON, B. (2000), "Financial Fragility and Mexico's 1994 Peso Crisis: An Event-Window Analysis of Market-Valuation Effects", Journal of Money Credit and Banking, 32, 450-468.
10. CHANG, R. and VELASCO, A. (1998), "Financial Crises in Emerging Markets: A Canonical Model" (NBER Working Paper 6606).
11. COLE, H. and KEHOE, T. (2000), "Self-Fulfilling Debt Crises", Review of Economic Studies, 67, 91-116.
12. CORSETTI, G., PESENTI, P. and ROUBINI, N. (1999), "Paper Tigers: A Model of the Asian Crisis", European Economic Review, 43, 1211-1236.
13. DIAMOND, D. and RAJAN, R. (2000), "Banks, Short Term Debt and Financial Crises" (NBER Working Paper 7764).
14. FROOT, K., SCHARFSTEIN, D. and STEIN, J. (1993), "Risk Management: Coordinating Corporate Investment and Financing Policies", Journal of Finance, 48, 1629-1658.
15. GOURINCHAS, P. O., LANDERRETCHE, O. and VALDES, R. (2001), "Lending Booms: Latin America and the World" (NBER Working Paper 8249).
16. HOLMSTROM, B. and TIROLE, J. (1997), "Financial Intermediation, Loanable Funds and the Real Sector", Quarterly Journal of Economics, 112, 663-691.
17. KAMINSKI, G. and REINHART, C. (1999), "The Twin Crises: The Causes of Banking and Balance of Payments Problems", American Economic Review, 89, 473-500.
18. KIYOTAKI, N. and MOORE, J. (1997), "Credit Cycles", Journal of Political Economy, 105, 211-248.
19. KRUEGER, A. and TORNELL, A. (2000), "The Role of Bank Lending in Recovering from Crises: Mexico 1995-1998" (NBER Working Paper 7042).
20. KRUGMAN, P. (1998), "Bubble, Boom, Crash: Theoretical Notes on Asia's Crisis" (Working Paper, MIT).
21. KRUGMAN, P. (1999), "Balance Sheets, the Transfer Problem, and Financial Crises" (Working Paper, MIT).
22. McKINNON, R. and PILL, H. (1999), "Exchange-Rate Regimes for Emerging Markets: Moral Hazard and International Overborrowing", Oxford Review of Economic Policy, 15, 19-38.
23. OBSTFELD, M. (1986), "Rational and Self-fulfilling Balance of Payments Crises", American Economic Review, 76, 72-81.
24. SACHS, J., TORNELL, A. and VELASCO, A. (1996), "Financial Crises in Emerging Markets: The Lessons from 1995", Brookings Papers on Economic Activity, 147-198.
25. SCHNEIDER, M. (1999), "Borrowing Constraints in a Dynamic Model of Bank Asset and Liability Management" (Working Paper, UCLA).
26. SCHNEIDER, M. and TORNELL, A. (1999), "Lending Booms and Asset Price Inflation" (Working Paper, UCLA).
27. TORNELL, A. and WESTERMANN, F. (2002), "Boom-Bust Cycles in Middle Income Countries: Facts and Explanation", IMF Staff Papers, 49,