Explaining Financial Crises : A Cyclical Approach
This book develops a new theoretical approach to the explanation of systemic financial crises in industrial and emerging market countries. In contrast to standard models, the present <I>cyclical</I> approach is consistent with the following three stylized facts. Firstly, systemic financi...
- Autores:
- Tipo de recurso:
- Book
- Fecha de publicación:
- 2018
- Institución:
- Universidad de Bogotá Jorge Tadeo Lozano
- Repositorio:
- Expeditio: repositorio UTadeo
- Idioma:
- eng
- OAI Identifier:
- oai:expeditiorepositorio.utadeo.edu.co:20.500.12010/20821
- Acceso en línea:
- https://directory.doabooks.org/handle/20.500.12854/26090
http://hdl.handle.net/20.500.12010/20821
- Palabra clave:
- Economic theory & philosophy
Monetary economics
Política económica
Política monetaria
Desarrollo económico
- Rights
- License
- Abierto (Texto Completo)
| Summary: | This book develops a new theoretical approach to the explanation of systemic financial crises in industrial and emerging market countries. In contrast to standard models, the present <I>cyclical</I> approach is consistent with the following three stylized facts. Firstly, systemic financial crises are a recurrent phenomenon generally accompanied by excessive boom-bust cycles. Secondly, the frequency of financial crisis cycles is very irregular. Thirdly, most financial crisis cycles are initiated by positive shocks to profit expectations which induce an unsustainable build-up of financial fragility driven by <I>irrational exuberance</I>. The present approach is based on a sophisticated balancesheet structure with many assets, as well as on an expectation formation scheme which combines the rational expectations hypothesis with Keynes’ |
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