Voluntary Debt Reduction Under Asymmetric Information
Author : Jorge Fernández Ruiz
Publisher :
Page : 74 pages
File Size : 25,71 MB
Release : 1993
Category : Debts, External
ISBN :
Author : Jorge Fernández Ruiz
Publisher :
Page : 74 pages
File Size : 25,71 MB
Release : 1993
Category : Debts, External
ISBN :
Author : International Monetary Fund
Publisher : International Monetary Fund
Page : 50 pages
File Size : 39,5 MB
Release : 1988-09-06
Category : Business & Economics
ISBN : 1451954328
In an economy with a debt overhang, investment depends on expected tax rates. On the other hand, expected tax rates depend on the debt’s face value. Therefore investment depends on the face value of debt. I show that this may lead to a positive or negative association between debt and investment depending on the degree of international capital mobility and attitudes toward risk. There may also exist multiple equilibria; with high and low investment levels. The paper explores the desirability of debt reduction in this environment. First, it characterizes circumstances in which debt reduction is desirable from the collective point of view of the creditors. Second, it formulates the forgiveness decision as a noncooperative game among creditors and explores the scope for debt reduction as an outcome of this game.
Author : John Williamson
Publisher : Peterson Institute
Page : 98 pages
File Size : 41,47 MB
Release : 1989
Category : Debt equity conversion
ISBN :
Author : Elhanan Helpman
Publisher :
Page : 76 pages
File Size : 42,60 MB
Release : 1988
Category : Capital movements
ISBN :
In an economy with a debt overhang, investment depends on expected tax rates. On the other hand, expected tax rates depend on the debt's face value. Therefore investment depends on the face value of debt. I show that this may lead to a positive or negative association between debt and investment depending on the degree of international capital mobility and attitudes toward risk. There may also exist multiple equilibria; with high and low investment levels. The paper explores the desirability of debt reduction in this environment. First, it characterizes circumstances in which debt reduction is desirable from the collective point of view of the creditors. Second, it formulates the forgiveness decision as a noncooperative game among creditors and explores the scope for debt reduction as an outcome of this game.
Author : Mr.Peter Wickham
Publisher : International Monetary Fund
Page : 430 pages
File Size : 11,60 MB
Release : 1989-03-15
Category : Business & Economics
ISBN : 9781557750419
This book, edited by Jacob A. Frenkel, Michael P. Dooley, and Peter Wickham, presents a sample of the work of the IMF and that of world-renowned scholars on the analytical issues surrounding the explosion of countries with debt-servicing difficulties and describes debt initiatives and debt-reduction techniques that hold the best promise for finding a lasting solution to the problems of debtor countries.
Author : Mr.George C. Anayotos
Publisher : International Monetary Fund
Page : 28 pages
File Size : 14,18 MB
Release : 1994-07-01
Category : Business & Economics
ISBN : 1451955782
This paper assesses the impact of information asymmetries on developing country financing and considers alternative techniques to reduce the adverse implications of such asymmetries. Following an introduction, Section II examines in general terms the role of information in financial markets and analyzes the incentive and risk sharing properties of alternative financial contracts. Information asymmetries which are present in domestic finance are more prevalent in international finance, in particular in developing country financing. Section III reviews measures aiming to resolve information asymmetries. Borrowing and creditor country regulations and policies, as well as innovative contractual agreements help to resolve a range of issues related to information asymmetries. However, despite their contribution, residual problems remain unresolved. The international financial institutions, and in particular the Fund, have an important role to play in alleviating information asymmetries.
Author : M. Ayhan Kose
Publisher : World Bank Publications
Page : 403 pages
File Size : 38,35 MB
Release : 2021-03-03
Category : Business & Economics
ISBN : 1464815453
The global economy has experienced four waves of rapid debt accumulation over the past 50 years. The first three debt waves ended with financial crises in many emerging market and developing economies. During the current wave, which started in 2010, the increase in debt in these economies has already been larger, faster, and broader-based than in the previous three waves. Current low interest rates mitigate some of the risks associated with high debt. However, emerging market and developing economies are also confronted by weak growth prospects, mounting vulnerabilities, and elevated global risks. A menu of policy options is available to reduce the likelihood that the current debt wave will end in crisis and, if crises do take place, will alleviate their impact.
Author : Jaime Sempere
Publisher :
Page : 32 pages
File Size : 37,76 MB
Release : 1993
Category : Income distribution
ISBN :
Author : Jun Jie Wu
Publisher :
Page : 34 pages
File Size : 26,46 MB
Release : 1995
Category : Agricultural conservation
ISBN :
Author : Raúl Aníbal Feliz
Publisher :
Page : 74 pages
File Size : 34,3 MB
Release : 1994
Category : Inflation (Finance)
ISBN :