Although capital inflows affect positively economies in long-run, it is possible to generate somehow destructive effects if there is no any control on financial markets. This study tries to explore main determinants of large capital inflows episodes to emerging markets. It is also investigated whether the large capital inflows episodes lead to financial crises in forms of sudden stop phenomenon...

There is little if any research that explicitly models or tests the positive effects of temporary high interest rates as a signal of the resolve of a central banker to maintain or strengthen the value of the currency. Does an increase in interest rate defend the value of a currency? A (one-shot) sharp increase does. In this paper, we start with a game-theoretical model in which a monetary autho...

With the deepening of global financial crisis and debt crisis, currency wars are escalating and trade protection is getting worse. Crisis of confidence in the national level is gradually spread to the enterprise level, virtual enterprise based on the global manufacturing particularly faces serious crisis of confidence. To analyzing and evaluating Virtual Enterprise venture, trust network struct...

12 In this paper, we developed and estimated a model of the Thai firm during the crisis. Our results 13 indicate that firms with the highest debt-equity ratios suffered the steepest declines in earnings per 14 share during the crisis from the financial distressed costs. We take this result as strong evidence for 15 the credit channel. Surprisingly, firms with the largest market capitalizations ...