Alessandro Turrini, Stefan Zeugner, 13 December 2019

For net international investment position benchmarks to be effective measures of countries’ external positions, they must be developed beyond a one-size-for-all approach. This column presents two such country-specific benchmarks to identify investment levels that are (1) explained by a country’s demographics and key indicators, and (2) beyond the threshold of presenting significant external stability risk. The authors apply these benchmarks to 65 advanced and emerging economies and present key findings.

Stephen Cecchetti, Kim Schoenholtz, 27 September 2017

Financial firms have paid fines totalling more than $9 billion for manipulating LIBOR, yet this flawed benchmark has not been replaced. This column argues that there are reduced incentives for banks to participate in setting the LIBOR rate, and so the potential of, and incentives for, manipulation remain. Although LIBOR is unsustainable, international regulators are working to produce more robust alternatives and to smooth the transition.


CEPR Policy Research