Tatiana Didier, Constantino Hevia, Sergio Schmukler, 09 August 2011

The global crisis of 2008-09 hit emerging markets nearly as hard as it hit rich countries, which is welcome news compared to previous crises in which emerging markets often suffered much more than developed economies. This column explores emerging economies' growth dynamics since the crisis.

Heleen Mees, 08 August 2011

As fears mount of another phase in the global crisis, this column points out that despite the growing uncertainty, US Treasury and German Bund yields have actually declined in recent weeks. The reason, it argues, is the global saving glut theory.

The Editors, 02 June 2011

Starting with The First Global Financial Crisis of the 21st Century in June 2008, Vox has published 12 titles with combined downloads of over 125,000. These books are now available in print format. This column outlines their main contributions.

Thorvaldur Gylfason, 01 June 2011

The global crisis has brought many countries to their knees, none more so than the small island of Iceland whose losses amount to seven times its GDP. Yet while Iceland’s recovery has in many ways been remarkable, this column argues that the country’s capital controls stand in the way of further progress.

Andrew Rose, Tomasz Wieladek, 29 May 2011

During the global crisis governments made substantial interventions in financial markets, particularly in the banking sector. This column argues that one unintended consequence of bank nationalisations has been to reduce cross-border lending. After nationalisation, foreign banks reduced British lending as a share of total lending by about 11 percentage points and increased interest rates to UK residents by 70 basis points. This suggests foreign nationalised banks have engaged in financial protectionism.

Nikola Spatafora, Andrew Berg, 24 May 2011

What effect did the global financial crisis have on low-income countries? This column examines data from the last forty years to help place 2007–2009 in perspective. It finds that the global crisis was largely transmitted to low-income countries through external demand shocks that were not tremendously large relative to historical volatility. Such demand shocks are usually bad for growth in the short to medium run, but they may not have damaged poor economies' long-run growth prospects.

Shekhar Aiyar, 12 May 2011

It is widely believed that banks played a central role in the Great Recession, but where is the smoking gun? This column presents evidence from the UK confirming the conventional wisdom. It finds that banks transmitted the unprecedented external funding shock by cutting back on domestic lending.

Viral Acharya, Matthew Richardson , Stijn Van Nieuwerburgh, Lawrence White, 12 May 2011

At the centre of the global financial crisis was a housing boom and bust. This column continues the description of how flaws in the US housing finance sector made the crisis inevitable. Here the authors outline a reform plan to avoid this outcome and contrast it to the US Treasury proposals.

Viral Acharya, Matthew Richardson , Stijn Van Nieuwerburgh, Lawrence White, 11 May 2011

At the centre of the global financial crisis was a housing boom and bust. A New York University team has produced an excellent book on the flaws in the design of US housing finance that opened the door for the mayhem that followed. This column, the first of a series of two, describes the race to the bottom that occurred among Fannie Mae, Freddie Mac, and the too-big-to-fail private financial institutions.

Richard Portes, 26 April 2011

What next for Ireland? This column by CEPR President Richard Portes makes the case that the country should restructure its debt.

Peter Draper, Andreas Freytag, Matthias Bauer, 15 April 2011

The global financial crisis also struck many developing countries, particularly in sub-Saharan Africa. In 2010, the G20 agreed on a “Seoul Action Plan”, which addresses the problems of the world’s poorest. This column analyses its message for sub-Saharan Africa. It argues that the G20 should really start energising the Doha round, taking fiscal stabilisation seriously, ensuring that exchange rates float, and guaranteeing that quantitative easing stops.

Mona Haddad , Ben Shepherd, 12 April 2011

With the global crisis affecting demand in all major markets, is export-led growth dead? This column argues to the contrary. It claims that the open, rules-based trading system centered on the WTO has proved remarkably resilient to recent shocks, with relatively little resort to protectionism to date. As a result, many developing countries are likely to persist with strategies of export-led growth, although their nature will change.

Max Corden, 11 April 2011

CEPR Policy Insight No. 54 analyses the current global imbalances debate.

Max Corden, 11 April 2011

People critical of global imbalances often blame the surplus countries and their currency manipulation. This column introduces a Policy Insight that argues that the basic problem has been the inefficiency of the world’s financial sector, which led to unfruitful investment in the US rather than productive investment in emerging economies.

Enrico Perotti, Jon Danielsson, Frank de Jong, Christian Laux, Roger Laeven, Mario Wüthrich, 31 March 2011

A delicate regulatory question is under consideration on the capital (reserve) requirements at the heart of Solvency II (the insurance industry equivalent of Basel III), which is scheduled to come into effect by 2013. This decision will have implications for both regulation of insurers and for macroprudential stability. The six authors of this article were invited to discuss the issues and concluded that more public scrutiny over this important question is urgently needed.

Stijn Claessens, Ceyla Pazarbasioglu, 30 March 2011

The comparisons between the global financial crisis and past episodes have been many, but this column argues that policymakers should look again, and closer. It says that without restructuring financial institutions’ balance sheets and their operations, as well as their assets, the economic recovery will suffer – and the seeds will be sown for the next crisis.

Henry Overman, 29 March 2011

When the global crisis hit, many predicted that London would suffer more than other parts of the UK, given the city’s reliance on the financial services industry. This column explores how the UK capital’s economy suffered far less than the rest of the country.

M. Ayhan Kose, Eswar Prasad, 21 March 2011

Emerging market economies proved surprisingly resilient during the global crisis, but some of them weathered the crisis better than others. This column argues that there are useful lessons to be learned from their experiences, and that these lessons have implications for securing emerging markets’ long-term growth prospects and responsibilities for global economic and financial stability.

Heiko Hesse, Brenda González-Hermosillo, 10 March 2011

Just how much systemic risk remains in the advanced economies? This column uses Markov-switching techniques to examine volatility in equity, interbank, sovereign credit-default swaps, and foreign-exchange markets. It finds that while overall systemic stress emanating from interbank spreads and foreign-exchange volatility has subsided, there are still pockets of systemic risk, particularly in sovereign credit default swaps and equity markets – and this is especially the case for Europe’s periphery.

Jon Danielsson, 18 February 2011

Financial models are widely blamed for underestimating and thus mispricing risk prior to the crisis. This column analyses how the models failed and questions their prominent use in the post-crisis reform process. It argues that over-relying on market data and statistical forecasting models has the potential to further destabilise the financial system and increase systemic risk.

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