December, 19 2016
A. Bassanetti, C. Cottarelli & A. Presbitero: Lost and Found - Market Access and Public Debt Dynamics
The empirical literature on sovereign debt crises identifies the level of public debt (measured as a share of GDP) as a key variable to predict debt defaults and to determine sovereign market access.
October, 21 2016
Recent evidence documents the weakness of market selection based on productivity differentials and the absence of cleansing during recessions. This paper argues that a possible explanation lies in the role of competitive rents, i.e., market advantages due...
March, 15 2016
One of the main problems facing the European Monetary Union is the macroeconomic imbalances between ‘core’ and ‘peripheral’ member states. Though they predated the union’s creation, these problems were highlighted between 1999 and the advent of the...
February, 19 2016
We develop a macroeconomic model with an agent-based household sector and a stock-flow consistent structure, in order to analyse the impact of rising income inequality on the likelihood of a debt crisis for different institutional settings. In particular...
February, 4 2016
How can the quantitative easing (QE) programme launched in March 2015 by the ECB be successful in the Eurozone (EZ)? What will be its impact on the member countries? And how will it relate to countries' fiscal policies? To address these questions, we use...
November, 16 2015
P. Schlosser: ‘Tightening the knot’ - strengthening fiscal surveillance in EMU during the euro crisis
One of the key regularities which appeared to hold so far in European integration is that the closer a policy issue lies to the core of state sovereignty, the least likely it is for integration to occur in that domain (Boerzel, 2005; Lindberg and...
October, 16 2015
The crisis in the Euro area has caused several business closures, especially in the EMU periphery. In this paper we use an original firm-level dataset on Italy to study the determinants of firm exit during the crisis, having a particular focus on the role...
October, 6 2015
The financial crisis of 2008-09 and the ensuing sovereign debt and banking crises within the eurozone exposed the presence of massive moral hazard within banking systems, that led to over-borrowing and excessive risk-taking by many large banks.