Do Some Forms of Financial Flows Help Protect From Sudden Stops? / / Paolo Mauro, Andrei Levchenko

• Autore: Mauro Paolo
• Pubblicazione: Washington, D.C. : , : International Monetary Fund, , 2006
• Descrizione fisica: 1 online resource (23 p.)
• Soggetto topico: Capital movements; Investments, Foreign; Exports and Imports; Finance: General; Statistics; International Investment; Long-term Capital Movements; International Monetary Arrangements and Institutions; Financial Aspects of Economic Integration; Current Account Adjustment; Short-term Capital Movements; General Financial Markets: General (includes Measurement and Data); International economics; Finance; Econometrics & economic statistics; Sudden stops; Foreign direct investment; Financial account; Emerging and frontier financial markets; Balance of payments statistics; Balance of payments; Financial markets; Economic and financial statistics; International finance; Financial services industry
• Soggetto geografico: United States
• Altri autori: LevchenkoAndrei
• Note generali: "September 2006."
• Nota di bibliografia: Includes bibliographical references.
• Nota di contenuto: ""Contents""; ""I. INTRODUCTION""; ""II. BEHAVIOR OF DIFFERENT TYPES OF FINANCIAL FLOWS""; ""III. BEHAVIOR DURING SUDDEN STOPS IN FINANCIAL FLOWS""; ""IV. CONCLUSIONS AND POSSIBLE EXTENSIONS""; ""REFERENCES""
• Sommario/riassunto: There is a debate on whether some forms of financial flows offer better crisis protection than others. Using a large panel of advanced, emerging, and developing countries during 1970-2003, this paper analyzes the behavior of various types of flows: foreign direct investment (FDI), portfolio equity investment, portfolio debt investment, other flows to the official sector, other flows to banks, and other flows to the non-bank private sector. Differences across types of flows are limited with respect to volatility, persistence, cross-country comovement, and correlation with growth at home or in the world economy. However, consistent with conventional wisdom, FDI is found to be the least volatile form of financial flows when taking into account the average size of net or gross flows. The differences are striking during "sudden stops" in financial flows (defined as drops in total net financial inflows by more than 5 percentage points of GDP compared with the previous year): in such episodes, FDI is remarkably stable; portfolio equity also seems to play a limited role; portfolio debt experiences a reversal, though it recovers relatively quickly; and other flows (including bank loans and trade credit) experience severe drops and remain depressed for a few years.
• Titolo autorizzato: Do Some Forms of Financial Flows Help Protect From Sudden Stops
• ISBN: 1-4623-6594-9; 1-4527-8343-8; 1-282-39196-8; 9786613820396; 1-4519-9313-7
• Formato: Materiale a stampa
• Livello bibliografico: Monografia
• Lingua di pubblicazione: Inglese
• Record Nr.: 9910809282303321
• Lo trovi qui: Univ. Federico II
• Serie: IMF Working Papers; Working Paper ; ; No. 2006/202