| Description |
1 online resource (31 pages) : illustrations (some color), graphs |
| Series |
IMF Working Paper ; WP/11/165 |
|
IMF working paper ; WP/11/165.
|
| Summary |
Annotation Emerging markets business cycle models treat default risk as part of an exogenous interest rate on working capital, while sovereign default models treat income fluctuations as an exogenous endowment process with ad-noc default costs. We propose instead a general equilibrium model of both sovereign default and business cycles. In the model, some imported inputs require working capital financing; default on public and private obligations occurs simultaneously. the model explains several features of cyclical dynamics around default triggers an efficiency loss as these inputs are replaced by imperfect substitutes; and default on public and private obligations occurs simultaneously. the model explains several features of cyclical dynamics around deraults, countercyclical spreads, high debt ratios, and key business cycle moments |
| Bibliography |
Includes bibliographical references at the end of each chapters |
| Notes |
Online resource; title from PDF title page (ebrary, viewed October 25, 2014) |
| Subject |
Foreign exchange administration -- Latin America
|
|
Foreign exchange rates -- Latin America
|
|
Foreign exchange administration
|
|
Foreign exchange rates
|
|
Latin America
|
| Form |
Electronic book
|
| Author |
Tovar, Camilo E., author
|
|
International Monetary Fund. Western Hemisphere Department, issuing body.
|
| ISBN |
9781462302215 |
|
1462302211 |
|
146230222X |
|
9781462302222 |
|
