Search results for "crisis"
showing 10 items of 860 documents
The information content of Eonia swap rates before and during the financial crisis
2013
Abstract Before August 2007, implied forward rates in the overnight interest swap rates closely reflected market expectations about the future path of the Eonia, and therefore, about the future course of the ECB’s monetary policy stance. Nevertheless, this link was weakened considerably during the most acute episode of the financial crisis. Using the expectations hypothesis of the term structure as a benchmark model for the determination of the overnight interest swap rates, we find that after May 2010 the monetary transmission mechanism was partially restored when the ECB implemented various ‘unconventional measures’ in response to the financial crisis. On the contrary, liquidity and credi…
Causal flows between oil and forex markets using high-frequency data: Asymmetries from good and bad volatility
2019
The file attached to this record is the author's final peer reviewed version. The Publisher's final version can be found by following the DOI link. This paper investigates the causal linkages in volatility between crude oil prices and six major bilateral exchange rates against the U.S. dollar in the time-frequency space using high-frequency intraday data. Special attention is paid to the potential asymmetries in the causal effects between oil and forex markets. The wavelet-based Granger causality method proposed by Olayeni (2016) is applied to quantify the causal relations in the time and frequency domains simultaneously. Moreover, the realized semivariance approach of Barndoff-Nielsen et a…
Current account adjustment and retained earnings
2019
First published online: 04 March 2019 This paper develops a formal strategy to calculate current accounts with retained earnings ( RE) on equity investment and analyzes their adjustment during the global financial crisis. RE are the part of companies' profits which is reinvested and not distributed to shareholders as dividends. International statistical standards treat RE on foreign direct investment and RE on portfolio investment differently: while the former enter the current and financial account, the latter do not. We show that this differential treatment strongly affects current accounts of several advanced economies, frequently referred to as financial centers, with large positions in…
Time and frequency dynamics of connectedness between renewable energy stocks and crude oil prices
2018
Abstract This paper examines the time and frequency dynamics of connectedness among stock prices of U.S. clean energy companies, crude oil prices and a number of key financial variables using the methodology developed by Barunik and Krehlik (2018). This approach allows measuring the dynamics of return and volatility connectedness over time and across frequencies simultaneously. The empirical results show that most of return and volatility connectedness is generated in the very short-term, i.e. movements up to five days, while the long-term plays a minor role. Our analysis further reveals a greater degree of interconnectedness across crude oil and financial markets since the onset of the U.S…
Crisis? consequences on recapitalization and exposure for Cypriot and Greek cooperative banks
2019
The financial crisis of 2008 transformed, in some countries, to economic and social one, created serious problems to the banking system. Capital basis and asset exposures, especially through the non-performing loans, have been the most important. Capital inadequacy caused the failure of banks that didn’t succeed to accomplish the capital requirements set by Basel II obligations. The treatment was not the same for all banks as only those considered as significant banks, for the economy, received capital aid from their state. The paper investigates through capital basis requirements and asset exposures the crisis’ consequences on Cyprus and Greek cooperative banks. The consequences were catac…
Banking failure prediction: a boosting classification tree approach
2016
The recent financial crisis shows that failure of some financial institutions can cause other banks to fail and ultimately cause damage to the financial system worldwide. Eurozone banks that experienced either liquidity or solvency problems during the finan- cial markets turmoil were bailed out by their national governments with the financial support and supervision of the European Union. This paper applies the boosted classification tree methodology to predict failure in the banking sector and identifies four key scor- ecard variables that are worth tracking closely in order to anticipate and prevent bank financial distress. The data used in this study comprises 2006-2012 annual series of …
The role of stock markets vs. the term spread in forecasting macrovariables in Finland
2011
Abstract A substantial body of stylized facts and empirical evidence exists regarding the relationships between financial variables and the macroeconomy in the United States. However, the question of whether this evidence is consistent with the cases of small open economies is less known. This paper focuses on the forecasting content of stock returns and volatility vs. the term spread for GDP, private consumption, industrial production and the inflation rate in Finland. Our results suggest that during normal times, the term spread is a much better tool than stock market variables for predicting real activity. However, during exceptional times, such as the recent financial crisis, the foreca…
Fiscal and regulatory federalism in the European Union
1995
This contribution summarizes some quantitative results and presents relevant policy-oriented conclusions obtained from research program No. PBS91-0363. It is mainly supported by the Inter-ministerial Committee on Science and Technology of the Spanish government, which was carried out at the Public Finance and Public Sector Economics Research Unit of University of Valencia (Spain) to analyze, from a fiscal and regulatory point of view, the dynamic characteristics of federalism in the European Union. The research was performed in order to contribute to the establishment of the basis for the acceleration of the economic European integration and the future constitution of the United States of E…
The impact of the Great Recession on TFP convergence among EU countries
2017
ABSTRACTThis article provides evidence on the effect of the Great Recession on productivity convergence among European Union (EU) economies. We use firm data, aggregated at the country-year level, to analyse the evolution of beta-convergence on total factor productivity (TFP) for 2003–2014. We obtain a positive impact of the recession on TFP (unconditional and conditional) beta-convergence across EU economies. These results support the existence of a catching-up process within the EU during the recent financial crisis. Other macroeconomic and institutional characteristics are important in fostering TFP growth, namely R&D intensity and quality of governance.
Políticas europeas de auditoría en tempos de crise
1970
A Unión Europea respondeu á crise financeira internacional tomando medidas que permitan recuperar a estabilidade nos mercados e favorecer o crecemento económico nos Estados membros. No terreo da auditoría, no ano 2010 publicouse o documento «Libro Verde. Política de auditoría: lecciones de la crisis», que mostra a intención da Comisión Europea de asumir o liderado en materia de auditoría no ámbito internacional, promovendo a cooperación internacional no marco do Consello de Estabilidade Financeira e do G-20. A este documento séguenlle a Resolución do Parlamento Europeo, de 13 de setembro de 2011, sobre «Políticas de auditoría: lecciones de la crisis»; a Proposta de directiva do Parlamento E…