Implications of Globalization on Growing External Debt in Eight
... In this chapter, the authors aim to analyze the external debt dynamics in the eight transition economies – Bulgaria, Croatia, Czech Republic, Hungary, Romania, Slovakia, Slovenia, and Serbia, in the period 1991-2014. The external debt situation within this group of countries differs strongly from th ...
... In this chapter, the authors aim to analyze the external debt dynamics in the eight transition economies – Bulgaria, Croatia, Czech Republic, Hungary, Romania, Slovakia, Slovenia, and Serbia, in the period 1991-2014. The external debt situation within this group of countries differs strongly from th ...
mmi13 Egert 19074760 en
... markets, and banking sector bailouts prevented the collapse of the financial system. While these actions certainly helped smooth the cycle, discretionary fiscal loosening and banking sector bail-outs contributed to a large extent to a sharp increase in many countries’ public debt-to-GDP ratio. It is ...
... markets, and banking sector bailouts prevented the collapse of the financial system. While these actions certainly helped smooth the cycle, discretionary fiscal loosening and banking sector bail-outs contributed to a large extent to a sharp increase in many countries’ public debt-to-GDP ratio. It is ...
Government Debt
... The issues of government debt1 -and deficits in EU member states have in the most recent years become important and seriously discussed after the financial crisis in 2008 (Dinca et al. 2011). The European Union is in a position where the member states have to follow rules strictly2 regarding their b ...
... The issues of government debt1 -and deficits in EU member states have in the most recent years become important and seriously discussed after the financial crisis in 2008 (Dinca et al. 2011). The European Union is in a position where the member states have to follow rules strictly2 regarding their b ...
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... output losses and a recession (Furman and Stiglitz, 1998; Reinhart and Calvo, 2000). In contrast, LT debt is more stable and resilient to crises, although it is more expensive due to the higher default risk. When the trade-off between higher costs and crises-prevention benefit for LT debt are balan ...
... output losses and a recession (Furman and Stiglitz, 1998; Reinhart and Calvo, 2000). In contrast, LT debt is more stable and resilient to crises, although it is more expensive due to the higher default risk. When the trade-off between higher costs and crises-prevention benefit for LT debt are balan ...
Funding Strategies of Sovereign Debt Management: A Risk
... In the context of sovereign liability management, market liquidity risk identifies the problems of selling significant quantities of a security in a quick, anonymous way with a rather small impact on the price. The size of the debt market and the composition of the investor base are crucial elements ...
... In the context of sovereign liability management, market liquidity risk identifies the problems of selling significant quantities of a security in a quick, anonymous way with a rather small impact on the price. The size of the debt market and the composition of the investor base are crucial elements ...
DOC - Europa EU
... definition of whether a transaction favours a creditor and whether it should therefore be invalidated. In some countries, it depends on whether or not the creditor has accepted the collateral in “good faith”; (i.e. he was unaware that the company was about to go bankrupt). In other countries there a ...
... definition of whether a transaction favours a creditor and whether it should therefore be invalidated. In some countries, it depends on whether or not the creditor has accepted the collateral in “good faith”; (i.e. he was unaware that the company was about to go bankrupt). In other countries there a ...
No Silver Bullet - The Pew Charitable Trusts
... Debt of this magnitude would threaten the country’s economic well-being. Government borrowing on that scale would siphon capital from private industry, reducing productivity and real wages. It would make the federal government more dependent on the wishes of foreign lenders. It would put pressure o ...
... Debt of this magnitude would threaten the country’s economic well-being. Government borrowing on that scale would siphon capital from private industry, reducing productivity and real wages. It would make the federal government more dependent on the wishes of foreign lenders. It would put pressure o ...
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... current ratio, and others. As shown in Figure 3, about 78% of farm businesses that do not participate in FCI had a less than 1% probability of default (the <0.5% and 0.5-1% categories), compared to 64% of farm business that participated in FCI. The average probability of default for farms without FC ...
... current ratio, and others. As shown in Figure 3, about 78% of farm businesses that do not participate in FCI had a less than 1% probability of default (the <0.5% and 0.5-1% categories), compared to 64% of farm business that participated in FCI. The average probability of default for farms without FC ...
13 - Finance
... replacement of people with a machine will alter the firm’s cost structure in favor of fixed costs, while the loan will move the capital structure in the direction of more debt. The firm’s leverage positions at expected output levels with and without the project are summarized as follows: ...
... replacement of people with a machine will alter the firm’s cost structure in favor of fixed costs, while the loan will move the capital structure in the direction of more debt. The firm’s leverage positions at expected output levels with and without the project are summarized as follows: ...
The Top Seven Financial Pitfalls Every - No
... a. Non-acquisition indebtedness: If the bank forgives the cost associated with the loan in foreclosure (penalties, late fees, foreclosure costs, attorneys fees), then the bank may issue a 1099 for that part –– it’s not wiped out by the legislation. b. If an individual is in a Chapter 11 bankruptcy. ...
... a. Non-acquisition indebtedness: If the bank forgives the cost associated with the loan in foreclosure (penalties, late fees, foreclosure costs, attorneys fees), then the bank may issue a 1099 for that part –– it’s not wiped out by the legislation. b. If an individual is in a Chapter 11 bankruptcy. ...
Risk Allocation, Debt Fueled Expansion and Financial Crisis ∗ Paul Beaudry
... factors, one of the central goals of this paper is present a mechanism whereby the determination of the risk premium and it effect on the cost of working capital provides a link between financial and real factors. There are several features which we believe are key to understanding this period. Fir ...
... factors, one of the central goals of this paper is present a mechanism whereby the determination of the risk premium and it effect on the cost of working capital provides a link between financial and real factors. There are several features which we believe are key to understanding this period. Fir ...
The new debt trap - Jubilee Debt Campaign
... National Audit Office found that investment through PFI schemes cost more than double in interest payments than if the government had borrowed directly,3 even without taking into account the cost of paying private companies profit under PFI. This disastrous record has not stopped the UK government p ...
... National Audit Office found that investment through PFI schemes cost more than double in interest payments than if the government had borrowed directly,3 even without taking into account the cost of paying private companies profit under PFI. This disastrous record has not stopped the UK government p ...
GambaTriantis2013HEC.. - University of Warwick
... in reducing investment and financing distortions and mitigating the value loss associated with financial agency problems. Due to the compounding effects of investment and financing distortions, the covenants that reduce the likelihood of new debt issues or increase the incentive to reduce debt are a ...
... in reducing investment and financing distortions and mitigating the value loss associated with financial agency problems. Due to the compounding effects of investment and financing distortions, the covenants that reduce the likelihood of new debt issues or increase the incentive to reduce debt are a ...
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... ◊ Timing of Fundraising Needs. Any firm requiring additional funding in the near term is likely to face difficulties. As Exhibit 5 illustrates, the industry as a whole appears to have sufficient surplus funds, or dry powder. The median of dry powder as a proportion of total funds raised over the la ...
... ◊ Timing of Fundraising Needs. Any firm requiring additional funding in the near term is likely to face difficulties. As Exhibit 5 illustrates, the industry as a whole appears to have sufficient surplus funds, or dry powder. The median of dry powder as a proportion of total funds raised over the la ...
FINALHill Rebuttal
... 1 DOD witness Crane and AOBA witness Oliver also mention this point in their Direct Testimony in this ...
... 1 DOD witness Crane and AOBA witness Oliver also mention this point in their Direct Testimony in this ...
Optimal Federal Public Debt Composition
... With regard to defining an optimal long-term public debt composition (benchmark), it represents the desired profile for the debt structure and constitutes a guide for delineating the government's short and medium-term financing strategies. In the Brazilian case, the benchmark is expressed by a set o ...
... With regard to defining an optimal long-term public debt composition (benchmark), it represents the desired profile for the debt structure and constitutes a guide for delineating the government's short and medium-term financing strategies. In the Brazilian case, the benchmark is expressed by a set o ...
Sovereign Debt Restructurings: Delays in Renegotiations and Risk
... cycles during restructurings with private external creditors and show that when foreign creditors are facing high gross domestic product (GDP) growth rates, restructurings are protracted and settled with smaller net present value (NPV) haircuts and face value reductions. To explain these stylized f ...
... cycles during restructurings with private external creditors and show that when foreign creditors are facing high gross domestic product (GDP) growth rates, restructurings are protracted and settled with smaller net present value (NPV) haircuts and face value reductions. To explain these stylized f ...
Submission 15 attachment - Maritime Super
... greenfields development programs flowing from the States and Commonwealth and perhaps even larger Regional projects where there are future infrastructure asset revenues associated with the identified projects. The type of investment and risk/return expectations are very different from the provision ...
... greenfields development programs flowing from the States and Commonwealth and perhaps even larger Regional projects where there are future infrastructure asset revenues associated with the identified projects. The type of investment and risk/return expectations are very different from the provision ...
NBER WORKING PAPER SERIES OPTIMAL RESERVE MANAGEMENT AND SOVEREIGN DEBT Laura Alfaro
... optimal policy does not involve accumulating reserves. Rather, the government reacts by reducing the amount of outstanding debt. Moreover, these results are robust to the possibility of holding contingent reserves, which, as suggested by Caballero and Panageas (2005), are a more efficient device to ...
... optimal policy does not involve accumulating reserves. Rather, the government reacts by reducing the amount of outstanding debt. Moreover, these results are robust to the possibility of holding contingent reserves, which, as suggested by Caballero and Panageas (2005), are a more efficient device to ...
Discussion Paper
... productivity growth. With large off-market and non-monetized sectors, low tax revenue collections, limited financial depth and underdeveloped financial markets, developing and emerging economies often have to resort to international sources of financing to fund their investment needs. Increasingly, ...
... productivity growth. With large off-market and non-monetized sectors, low tax revenue collections, limited financial depth and underdeveloped financial markets, developing and emerging economies often have to resort to international sources of financing to fund their investment needs. Increasingly, ...
Effect of Leverage on Performance of Non
... debt finance, they are reallocating some expected future cash flows away from equity claimants in exchange for cash up front. Jensen (1986), debt can therefore reduce excessive consumption of perquisites because creditors demand annual payments on the outstanding loans. The stock market’s perception ...
... debt finance, they are reallocating some expected future cash flows away from equity claimants in exchange for cash up front. Jensen (1986), debt can therefore reduce excessive consumption of perquisites because creditors demand annual payments on the outstanding loans. The stock market’s perception ...
Using Risk Analysis to Classify Junk Bonds as Equity for Federal
... advocating the elimination of the corporate income tax through integration. 12 However, "[t]he political consensus .. [has always been] that separate taxation of corporate income is warranted,"' 3 and the policy justifications behind charging a premium to corporations in the form of double taxation ...
... advocating the elimination of the corporate income tax through integration. 12 However, "[t]he political consensus .. [has always been] that separate taxation of corporate income is warranted,"' 3 and the policy justifications behind charging a premium to corporations in the form of double taxation ...
Firm Life Cycle and Corporate Financing Choices
... where ΔDebt is net debt issued and Deficit is the financing deficit, i.e. uses of funds minus internal sources of funds. This deficit is financed with debt and/or equity. If firms follow the pecking order, changes in debt should track changes in the deficit one-for-one (Shyam-Sunder and Myers, 1999) ...
... where ΔDebt is net debt issued and Deficit is the financing deficit, i.e. uses of funds minus internal sources of funds. This deficit is financed with debt and/or equity. If firms follow the pecking order, changes in debt should track changes in the deficit one-for-one (Shyam-Sunder and Myers, 1999) ...
Chapter 6 Long-run aspects of fiscal policy and
... To be solvent means being able to meet the …nancial commitments as they fall due. In practice this concept is closely related to the government’s No-PonziGame condition and intertemporal budget constraint (to which we return in Section 6.5), but at the theoretical level it is more fundamental. We ma ...
... To be solvent means being able to meet the …nancial commitments as they fall due. In practice this concept is closely related to the government’s No-PonziGame condition and intertemporal budget constraint (to which we return in Section 6.5), but at the theoretical level it is more fundamental. We ma ...
NBER WORKING PAPER SERIES Paul Beaudry Amartya Lahiri
... and economic contraction? There are currently many proposed explanations. For example, common explanations involve a combination of an overly expansive monetary policy, a saving glut driven by foreign investors, irrational exuberance involving house prices, opaque financial securities, fraudulent mo ...
... and economic contraction? There are currently many proposed explanations. For example, common explanations involve a combination of an overly expansive monetary policy, a saving glut driven by foreign investors, irrational exuberance involving house prices, opaque financial securities, fraudulent mo ...