Quantitative implications of a debt-deflation theory of Sudden Stops and asset prices

By Enrique G. Mendoza, K. A. Smith. 2006

224 citations recorded by the source corpus.

Subfields: Economics and Econometrics, Finance

View Paper: https://www.semanticscholar.org/paper/8337b57bc973146dbec376aacc88c2efdfda3245

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Citations in the corpus

Inspecting the Mechanism: Leverage and the Great Recession in the Eurozone (2017, background): “Sanguinetti and Fuentes (2012) show that “The Spanish economy experienced significantly weaker labour productivity growth than other OECD economies and failed to catch up with the most advanced economies in the period 1996-2007.”
Regulating Capital Flows to Emerging Markets: An Externality View (2018, background): “…any model of financial amplification effects in which a country’s external financing capacity and the tightness of its constraints depend endogenously on the level of the exchange rate (see e.g. Krugman, 1999; Schneider and Tornell, 2004; Mendoza, 2005; Mendoza and Smith, 2006, among many others).”
On the International Transmission of Shocks : Micro-Evidence from Mutual Fund Portfolios (2012, background): “3 See, for example, Calvo (2002), Kodres and Pritsker (2002), Mendoza and Smith (2006), and Mendoza (2010).”
A Fisherian approach to financial crises: Lessons from the Sudden Stops literature (2020, unknown): “…(Boz and Mendoza, 2014), exchange-rate policy (Fornaro, 2018), studies on the effects of financial policies and financial integration (Durdu and Mendoza, 2006; Mendoza and Smith, 2014; Jeanne and Korinek, 2018; Reyes-Heroles and Tenorio, 2017), and models of self-fulfilling Sudden Stops…”
Optimal Time-Consistent Macroprudential Policy (2017, unknown): “All are priced discounting at the world’s risk-free rate (see Mendoza and Smith 2006).”
Financial Globalization, Financial Crises and Contagion (2010, unknown): “Similar mechanisms, although without an explicit modeling of the banking sector, have been used to study sudden stops and financial contagion in emerging economies during the 1990s (see, for example, Caballero and Krishnamurthy, 2001; Calvo, 1998; Cook and Devereux, 2006; Gertler et al., 2007; Mendo”
Financial Innovations and Macroeconomic Volatility (2006, unknown): “In this regard, our model is related to Kiyotaki & Moore (1997), Bernanke, Gertler & Gilchrist (1999), and Mendoza & Smith (2005), in the sense that asset prices movements affect the ability to borrow.”
The Costs of Financial Crises: Resource Misallocation, Productivity and Welfare in the 2001 Argentine Crisis (2011, unknown): “Like Chari, Kehoe and McGrattan [9], Meza and Quintin [24], Benjamin and Meza [7], Kehoe and Ruhl [20], Christiano, Gust and Roldos [11], Neumeyer and Perri [28], Mendoza [25], Mendoza and Yue [27], Arellano andMendoza [1] and Mendoza and Smith [26], our paper aims to understand the consequences of ”
Sudden Stops, Financial Crises, and Leverage (2010, background): “…in a Sudden Stops model similar to Mendoza (2002) and found that debt levels differ by small margins, and the NBER working paper version of Mendoza and Smith (2006) showed that at low price elasticities of asset demand the externality is quantitatively small (see…”
Financial regimes and uncertainty shocks (2019, background): “…Models where agents face occasionally binding borrowing or collateral constraints offer a natural way to think about this form of state-dependence (Mendoza and Smith, 2006; Mendoza, 2010; Bianchi and Mendoza 2010; Bianchi, 2011; He and Krishnamurty 2012, 2013; Brunnermeier and Sannikov, 2014).”
Overborrowing, Financial Crises and ‘Macro-Prudential’ Policy? (2011, unknown): “The model is similar to the DSGEmodels with occassionally binding collateral constraints examined by Mendoza and Smith (2006) and Mendoza (2010).”