Title of article :
Financialglobalization,financialcrisesandcontagion$
Author/Authors :
Enrique G. Mendoza، نويسنده ,
Issue Information :
روزنامه با شماره پیاپی سال 2010
Abstract :
Two observationssuggestthatfinancialglobalizationplayedanimportantroleinthe
recentfinancialcrisis.First,morethanhalfoftheriseinnetborrowingoftheU.S.non-
financialsectorssincethemid-1980shasbeenfinancedbyforeignlending.Second,the
collapseoftheU.S.housingandmortgage-backed-securitiesmarketshadworldwide
effectsonfinancialinstitutionsandassetmarkets.Usinganopen-economymodelwhere
financialintermediariesplayacentralrole,weshowthatfinancialintegrationleadstoa
sharp riseinnetcreditinthemostfinanciallydevelopedcountryandtolargeassetprice
spilloversofcountry-specificshockstobankcapital.Theimpactsoftheseshocksonasset
prices areamplifiedbybankcapitalrequirementsbasedonmark-to-market.
Keywords :
Financial globalizationFinancial crisesContagionFinancial developmentU.S. crisis
Journal title :
Journal of Monetary Economics
Journal title :
Journal of Monetary Economics
