The Resource Can good events lead to bad outcomes? : endogenous banking crises and fiscal policy responses, prepared by Andrew Feltenstein and Céline Rochon

Can good events lead to bad outcomes? : endogenous banking crises and fiscal policy responses, prepared by Andrew Feltenstein and Céline Rochon

Label
Can good events lead to bad outcomes? : endogenous banking crises and fiscal policy responses
Title
Can good events lead to bad outcomes?
Title remainder
endogenous banking crises and fiscal policy responses
Statement of responsibility
prepared by Andrew Feltenstein and Céline Rochon
Creator
Contributor
Author
Subject
Language
eng
Summary
In this paper, we study the impact of labor market restructuring and foreign direct investment on the banking sector, using a dynamic general equilibrium model with a financial sector. Numerical simulations are performed using stylized Chinese data, and banks failures are generated through increases in the growth rate of the labor force, a revaluation of the exchange rate or an increase in debt issue to finance the government deficit, as compared to a benchmark scenario in which banks remain solvent. Thus bank failures can result from what might seem to be either beneficial economic trends, or correct monetary and fiscal policies. We introduce fiscal policies that modify relative factor prices by lowering the capital tax rate and increasing the tax rate on labor. Such policies can prevent banking failures by raising the return to capital. It is shown that such fiscal policies are, in the short run, welfare reducing
Member of
Cataloging source
E7B
Government publication
international or intergovernmental publication
Index
no index present
LC call number
HG1573
LC item number
.F45 2006eb
Literary form
non fiction
Nature of contents
  • dictionaries
  • bibliography
Series statement
IMF working paper
Series volume
WP/06/263
Label
Can good events lead to bad outcomes? : endogenous banking crises and fiscal policy responses, prepared by Andrew Feltenstein and Céline Rochon
Publication
Bibliography note
Includes bibliographical references
http://library.link/vocab/branchCode
  • net
Carrier category
online resource
Carrier category code
cr
Carrier MARC source
rdacarrier
Color
multicolored
Content category
text
Content type code
txt
Content type MARC source
rdacontent
Control code
ocn698585578
Dimensions
unknown
Extent
1 online resource (26 pages)
Form of item
online
Isbn
9781451909760
Media category
computer
Media MARC source
rdamedia
Media type code
c
http://library.link/vocab/recordID
.b35451312
Specific material designation
remote
System control number
  • (OCoLC)698585578
  • imf1283515350

Library Locations

    • Deakin University Library - Geelong Waurn Ponds CampusBorrow it
      75 Pigdons Road, Waurn Ponds, Victoria, 3216, AU
      -38.195656 144.304955
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