Authors: Doyne Farmer, Charles A Goodhart and Alissa M. Kleinnijenhuis Date: September 2021 Abstract: The 2007-2008 financial crisis forced governments to choose between the unattractive alternatives of either bailing out a systemically important bank (SIB) or allowing it to fail disruptively. Bail-in has been put forward as an alternative that potentially addresses the too-big-to-fail and contagion risk[…]
Authors: Andrea Fabiani, Martha Lopéz Piñeros, José Luis Peydró and Paul Soto Date: September 2021 Abstract: We study how capital controls and domestic macroprudential policy tame credit supply booms, respectively targeting foreign and domestic bank debt. For identification, we exploit the simultaneous introduction of capital controls on foreign exchange (FX) debt inflows and an increase[…]
CfP Deadline Date: October 29, 2021 Conference Event: March 17-18, 2022 Event Location: Rome, Italy Keynote speaker(s): Stefano Giglio (Yale School of Management) Victoria Ivashina (Harvard Business School) Organizer(s): Bank of Italy Bocconi University – BAFFI CAREFIN We welcome theoretical and empirical contributions on topics including (but not limited to): macro-finance models of linkages between[…]
By Shekhar Aiyar and Manasa Patnam Recent research suggests that World Bank aid disbursements are associated with outflows from recipient countries to offshore financial centres, indicating elite capture of aid. This column uses 25 years of data to examine whether the same is true for IMF lending. It finds no evidence that IMF loans are[…]