scholarly journals Short-Selling Bans and the Global Financial Crisis: Are They Interconnected?

2018 ◽  
Vol 64 (2) ◽  
pp. 159-177
Author(s):  
Martin T. Bohl ◽  
Badye Essid ◽  
Pierre L. Siklos
Keyword(s):  
Financial Crisis ◽  
Stock Prices ◽  
Global Financial Crisis ◽  
Short Selling ◽  
Equity Returns ◽  
Policy Makers ◽  
Advanced Economies ◽  
The Individual ◽  
The Global Financial Crisis ◽  
Jel Classifications

Abstract This paper begins with the observation that short-selling bans spread globally in 2008. We find some evidence that the bans were unsuccessful at least insofar as they did not take into account the global component a short-selling ban which reduced equity returns in about a third of the 17 countries sampled, most notably in some of the major advanced economies. In the individual countries we examine, the bans had relatively little impact. Our results are suggestive as evidence that the bans stemmed further deterioration in stock prices that policy makers sought to avoid, at least in a few economies. JEL classifications: G10, G12 Keywords: Short-selling bans, spillovers, stock markets, dynamic conditional correlations

Conclusions

2017 ◽  
Author(s):  
Yilmaz Akyüz
Keyword(s):  
Monetary Policy ◽  
Financial Crisis ◽  
Interest Rates ◽  
Global Financial Crisis ◽  
Developing Economies ◽  
Quantitative Easing ◽  
Unconventional Monetary Policy ◽  
Advanced Economies ◽  
The Global Financial Crisis ◽  
Zero Bound

The preceding chapters have examined the deepened integration of emerging and developing economies (EDEs) into the international financial system in the new millennium and their changing vulnerabilities to external financial shocks. They have discussed the role that policies in advanced economies played in this process, including those that culminated in the global financial crisis and the unconventional monetary policy of zero-bound interest rates and quantitative easing adopted in response to the crisis, as well as policies in EDEs themselves....

Financialization and state capitalism in Hungary after the Global Financial Crisis

2021 ◽  
pp. 102452942110032
Author(s):  
David Karas
Keyword(s):  
Financial Crisis ◽  
Global Financial Crisis ◽  
Emerging Market ◽  
Active Role ◽  
The State ◽  
State Capitalism ◽  
Political Risks ◽  
Role Of The State ◽  
Advanced Economies ◽  
The Global Financial Crisis

Whereas the active role of the state in steering financialization is consensual in advanced economies, the financialization of emerging market economies is usually examined through the prism of dependency: this downplays the domestic political functions of financialization and the agency of the state. With the consolidation of state capitalist regimes in the semi-periphery after the Global Financial Crisis, different interpretations emerged – some linking state capitalism with de-financialization, others with coercive projects deepening it. Preferring a more granular and multi-dimensional approach, I analyse how different facets of financialization might represent political risks or opportunities for state capitalist projects: Based on the Hungarian example, I first explain how the constitution of a ‘financial vertical’ after 2010 inaugurated a new mode of statecraft. Second, I show how the financial vertical enabled rentier bargains between state and society after 2015 by deepening the financialization of social policy and housing in response to a looming crisis of competitiveness.

scholarly journals Empty talk? University voices on the Global Financial Crisis

2010 ◽  
Vol 6 (4) ◽  
Author(s):  
Todd Bridgman
Keyword(s):  
Financial Crisis ◽  
News Media ◽  
Global Financial Crisis ◽  
Housing Prices ◽  
Banking System ◽  
Policy Makers ◽  
The Us ◽  
Complex Events ◽  
The Global Financial Crisis ◽  
Company Sector

The global financial crisis (GFC) which began in 2007 with a liquidity squeeze in the US banking system and which continues to play out today has affected us all, whether through the collapse of the finance company sector, rising unemployment, falling housing prices or the recession which followed the initial market crash. The speed and scope of the crisis surprised most experts – policy makers included. Specialists from a myriad of disciplines, from economics and finance to risk management, corporate governance and property, are trying to make sense of what happened, why it happened and what it means for us now and into the future. Members of the public rely on the news media to keep them informed of the crisis as it unfolds and they rely on experts to translate these complex events into a language which they can understand. The GFC is educating us all, and it is important that we all learn from it to avoid making the same mistakes again. 

scholarly journals Doing Good or Avoiding Evil? An Explorative Study of Depositors’ Reasons for Choosing Social Banks in the Pre and Post Crisis Eras

2020 ◽  
Vol 12 (23) ◽  
pp. 10082 ◽  
Author(s):  
Nikolas Höhnke
Keyword(s):  
Financial Crisis ◽  
Online Survey ◽  
Global Financial Crisis ◽  
Target Groups ◽  
The Social ◽  
Before And After ◽  
Great Relevance ◽  
Conventional Banks ◽  
The Individual ◽  
The Global Financial Crisis

The global financial crisis is expected to be of great relevance for social banks’ growth of deposits. However, it is still unclear why depositors choose social banks in general, and how the global financial crisis has affected depositors’ choice of social banks. The present paper thus explores a comprehensive set of reasons for choosing social banks, the individual relevance of reasons, as well as differences before and after the global financial crisis. Data was collected through a survey of five social banks, interviews with nine industry experts, and an online survey with 108 social and 413 conventional depositors. Using content analysis, a multi-level system of reasons for choosing social banks was identified, which refers to the social banks’ “good” and conventional banks’ “evil” characteristics. Based on a frequency analysis of codings per category, reasons with potential superior relevance for depositors’ decision-making were explored. A comparison with reasons for choosing conventional banks imply that depositors’ reasons for choosing social banks differ from those for choosing conventional banks in general. The results also indicate that the global financial crisis might have helped social banks’ growth by attracting new customer target groups, who chose social banks because of conventional banks’ “evil” characteristics.

scholarly journals Contagion effects of the global financial crisis in us and European real economy sectors

2014 ◽  
Vol 61 (3) ◽  
pp. 275-288 ◽  
Author(s):  
Dimitris Kenourgios ◽  
Dimitrios Dimitriou
Keyword(s):  
Financial Crisis ◽  
Stock Market ◽  
Global Financial Crisis ◽  
Regional Analysis ◽  
Real Economy ◽  
Policy Makers ◽  
Contagion Effects ◽  
Market Contagion ◽  
Show Evidence ◽  
The Global Financial Crisis

This paper empirically investigates the contagion effects of the Global Financial Crisis (2007-2009) from the financial sector to the real economy by examining nine sectors of US and developed European region. We provide a regional analysis by testing stock market contagion on the aggregate level and the sector level, on the global level and the domestic/regional level. Results show evidence of global contagion in US and developed European aggregate stock market indices and all US sector indices, implying the limited benefits of portfolio diversification. On the other hand, most of the European regional sectors seem to be immune to the adverse effects of the crisis. Finally, all non-financial sectors of both geographical areas seem to be unaffected by their domestic financial systems. These findings have important implications for policy makers, investors and international organizations.

scholarly journals Legal analysis of mechanisms of influence on debtors

2020 ◽  
Vol 2 (2) ◽  
pp. 115-119
Author(s):  
Olha Kruhlova
Keyword(s):  
Financial Crisis ◽  
Global Financial Crisis ◽  
Economic Situation ◽  
Legal Analysis ◽  
Commercial Law ◽  
Legal Entity ◽  
State Register ◽  
The Individual ◽  
The Global Financial Crisis ◽  
First Time

This article is dedicated to exploring legal mechanisms that can be used against debtors to satisfy creditors' rights and interests. The purpose of the study is to determine the list of measures aimed at exercising effective influence on the debtor, provided by law, and to formulate criteria for their application. The author draws attention to changes in the current legislation in this area in recent years and stresses the urgency of maintaining discipline in obligations, given the difficult economic situation in the country and the global financial crisis. One of such positive changes should be the establishment of the keeping of the Unified State Register of Debtors in Ukraine, whose functioning makes it possible to identify the debtor's property and impose restrictions on it, prohibit alienation and so on. And all this provides an opportunity to meet the property needs of creditors. For the first time, the study reveals the criteria that should be used to determine the areas of influ-ence for entities with debt to the lender: characteristics of the individual (individual / legal entity, etc.); the area of law that sets the obligation for the debtor (civil / family / commercial law, etc.); the causes of the debt (insolvency / liability of the debtor, etc.); the personal position of the debtor and / or creditor in the situation that has arisen (initiation of debt resolution / restructuring, etc.) The article also analyzes the specifics of choosing measures to influence debtors who have certain statuses. Such a feature exists in particular for an individual, a legal entity, a state-owned enterprise, an alimony debtor, an insolvent debtor, and others.

The 2008 Global Crisis and Israel-Economy Resilience

2018 ◽  
Author(s):  
Assaf Razin
Keyword(s):  
Financial Crisis ◽  
Foreign Exchange Market ◽  
Global Financial Crisis ◽  
Domestic Currency ◽  
Global Crisis ◽  
Policy Makers ◽  
The Great Depression ◽  
Market Intervention ◽  
The Global Financial Crisis ◽  
Financial Shock

The global financial crisis generated the deepest and longest recession since the Great Depression of the 1930s. The defining event of the 2008 global financial crisis was a “hemorrhagic stroke”: a paralytic implosion of the loanable funds markets. Depression forces such as they exist in the US, Europe, or Japan, do not appear to hold in the case of Israel. Its resilience to the external financial shock during the global crisis is rooted in (a) the absence of credit boom in the wake of the crisis, and (b) the relatively small commercial banks' exposure in terms of toxic assets that for the European countries played a major role. Reacting to the global trade-diminishing shocks, policy makers’ concern was three-fold: First, banks exposures to toxic assets such as mortgage based securities and foreigners’ debt obligations. Partly because Israel skipped the credit bubble, and bank regulations were relatively tight, Israel showed a sound resilience to the global financial shock. Second, Israel export markets softened and demand conditions deteriorated. Third, Israel domestic currency got strengthened. Bank of Israel addressed the last two issues by a massive foreign exchange market intervention to weaken the value of the domestic currency, and stimulate exports. The need to prolong the stimulus policies dissipated relatively fast.

scholarly journals BANKING FLOWS AND FINANCIAL CRISIS FINANCIAL INTERCONNECTEDNESS AND BASEL III EFFECTS

2012 ◽  
Vol 03 (01) ◽  
pp. 1240001 ◽  
Author(s):  
Swati R. Ghosh ◽  
Naotaka Sugawara ◽  
Juan Zalduendo
Keyword(s):  
Financial Crisis ◽  
Emerging Markets ◽  
Structural Changes ◽  
Global Financial Crisis ◽  
Stable Region ◽  
Basel Iii ◽  
Advanced Economies ◽  
Financial Interconnectedness ◽  
The Global Financial Crisis ◽  
Capital Regulations

This paper examines the factors that determine banking flows from advanced economies to emerging markets. In addition to the usual determinants of capital flows in terms of global push and local pull factors, we examine the role of bilateral factors, such as growth differentials and economic size, as well as contagion factors and measures of the depth in financial interconnectedness between lenders and borrowers. We find profound differences across regions. In particular, in spite of the severe impact of the global financial crisis, emerging Europe stands out as a more stable region. Assuming that the determinants of banking flows remain unchanged in the presence of structural changes, we use these results to explore the short-term implications of Basel III capital regulations on banking flows to emerging markets.

Sign in / Sign up

Export Citation Format

Share Document