06568oam 22011534 450 991077964250332120230802010318.01-4755-7227-11-4755-1849-8(CKB)2550000001041544(EBL)1607107(SSID)ssj0000960473(PQKBManifestationID)11562556(PQKBTitleCode)TC0000960473(PQKBWorkID)10949944(PQKB)11541483(MiAaPQ)EBC1607107(Au-PeEL)EBL1607107(CaPaEBR)ebr10661235(OCoLC)821966231(IMF)WPIEE2012293(IMF)WPIEA2012293(EXLCZ)99255000000104154420020129d2012 uf 0engurcn|||||||||txtccrGlobal Financial Crisis, Financial Contagion, and Emerging Markets /Gülçin Özkan, Filiz UnsalWashington, D.C. :International Monetary Fund,2012.1 online resource (59 p.)IMF Working PapersDescription based upon print version of record.1-4755-8984-0 1-4755-5116-9 Includes bibliographical references.Cover; Contents; 1. Introduction; 2. The Model; 2.1 Households; 2.2 Firms; 2.2.1 Production Firms; 2.2.2 Importing Firms; 2.2.3 Unfinished Capital Producing Firms; 2.3 Entrepreneurs; 2.4 Monetary Policy; 2.5 General Equilibrium and Balance of Payments Dynamics; 3. Solution and Parametrization; 3.1 Consumption, Production and Monetary Policy; 3.2 Entrepreneurs; 4. Financial Crisis and the Domestic Economy; 4.1 Model Dynamics; 4.2 Financial Crisis Originating in the Domestic Economy; 4.3 Financial Crisis in the Global Economy; 4.3.1 The Impact of the financial shock on the foreign economy4.3.2 The transmission of the foreign shock onto the domestic economy 4.3.3 The role of trade openness; 4.4 Monetary Policy Options and Welfare Analysis; 5. Conclusions; References; Appendixes; A. Optimal Contracting Problem; B. Model Equations; B.2 Model Equations: Foreign Economy; Tables; 1. Parameter Values for Consumption, Production and Monetary Policy; 2. Parameter Values for the Entrepreneurial Sector; 3. Business Cycles in Emerging Economies: Data vs. Model; 4. Business Cycles in Advanced (Big) Economies: Data vs. Model; 5. Cross-Country Correlations; 6. Welfare Results; Figures1. Responses to a Financial Crisis in Domestic Economy 2. Responses to a Financial Crisis in a Foreign Economy; 3. Responses to a Financial Crisis in Foreign Economy with Financial Contagion; 4. Responses to a Financial Crisis in Foreign Economy without Financial Contagion; 5. Responses to a Financial Crisis in Foreign Economy with Financial Contagion: Domestic Economy-The Impact of Openness; 6. Responses to a Financial Crisis in Foreign Economy without Financial Contagion: Domestic Economy-The Impact of Openness7. Responses to a Financial Crisis in Foreign Economy with Financial Contagion: Domestic Economy-The Role of Monetary Policy Strategy 8. Responses to a Financial Crisis in Foreign Economy without Financial Contagion: Domestic Economy-The Role of Monetary Policy StrategyThe recent global financial crisis was the first in recent history that was triggered by problems in the financial system of the mature economies. Existing work on financial crisis in emerging market countries, however, almost exclusively focus on the role of financial frictions in the domestic economy. In contrast, we propose a two-country DSGE model to investigate the transmission of a global financial crisis that originates from financial frictions in the rest of the world. We find that the scale of financial spillovers from the global to the domestic economy and trade openness are key determinants of the severity of the financial crisis for the domestic economy. Our results also suggest that the welfare ranking of alternative monetary policy regimes is determined by the degree of financial contagion, the degree of trade openness as well as the scale of foreign currency denominated debt in the domestic economy.IMF Working Papers; Working Paper ;No. 2012/293Global Financial Crisis, 2008-2009Financial crisesDeveloping countriesFinancial crisesDeveloping countriesEconometric modelsFinance: GeneralimfFinancial Risk ManagementimfForeign ExchangeimfLaborimfLabor DemandimfGeneral Financial Markets: Government Policy and RegulationimfFinancial CrisesimfCurrencyimfForeign exchangeimfLabourimfincome economicsimfFinanceimfEconomic & financial crises & disastersimfConventional pegimfSelf-employmentimfExchange rate arrangementsimfFinancial contagionimfFinancial crisesimfFinancial sector policy and analysisimfSelf-employedimfFinancial risk managementimfArgentinaimfGlobal Financial Crisis, 2008-2009.Financial crisesFinancial crisesEconometric models.Finance: GeneralFinancial Risk ManagementForeign ExchangeLaborLabor DemandGeneral Financial Markets: Government Policy and RegulationFinancial CrisesCurrencyForeign exchangeLabourincome economicsFinanceEconomic & financial crises & disastersConventional pegSelf-employmentExchange rate arrangementsFinancial contagionFinancial crisesFinancial sector policy and analysisSelf-employedFinancial risk managementÖzkan Gülçin1476614Unsal Filiz1476615DcWaIMFBOOK9910779642503321Global Financial Crisis, Financial Contagion, and Emerging Markets3691356UNINA