This paper proposes an original three-part sequential testing procedure (STP), with which to test for contagion using a multivariate model. First, it identifies structural breaks in the volatility of a given set of countries. Then a structural break test is applied to the correlation matrix to...

Main description: Die große Bedeutung institutioneller Rahmenbedingungen für das Auftreten und für die Vermeidung sowie für die Wirkungen von Krisen tritt mit jeder neuen Krise in den Fokus wissenschaftlicher Diskussionen. Dieser Sammelband konzentriert sich auf die institutionellen Bezüge...

This journal consists of proceedings that have been accepted as eligible by the editors and presented in the Second International Conference of Political Economy: Crisis and Development. It is a continuation of the previous book "Politik Iktisat ve Adam Smith" that was the first in the series of...

Die vielfältigen Äußerungsformen der jüngsten Wirtschaftskrisen und die derzeitigen Herausforderungen in Europa machen die Notwendigkeit deutlich, die nach wie vor als rational geltende Ökonomie auf ihre parallel ausgebildete »stark spezialisierte emotionale Kultur« (Eva Illouz) hin zu...

One explanation for the poor performance of regulation in the recent financial crisis is that regulators had been captured by the financial sector. We present a micro-founded model with rational agents in which banks may capture regulators due to their high degree of sophistication. Banks can...

In this paper, we use the estimated three-region DSGE model GEAR, which pictures Germany, the Euro Area and the Rest of the world and which is used by the Deutsche Bundesbank for policy analysis, to analyze how discretionary fiscal policy in Germany and the rest of EMU affected GDP growth and...

Since the onset of the eurozone sovereign debt crisis, credit risk spreads in Europe have diverged. Despite this divergence, credit risk comoves strongly within certain country groups such as the eurozone periphery. We seek to answer what the determinants of the observed pattern of credit risk...