Fatal Attraction : A New Measure of Contagion /

This paper proposes a new measure of contagion that is good at anticipating future vulnerabilities. Building on previous work, it uses correlations of equity markets across countries to measure contagion, but in a departure from previous practice it measures contagion using the relationship of these...

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Detalhes bibliográficos
Autor principal: Bayoumi, Tamim
Outros Autores: Fazio, Giorgio, Kumar, Manmohan, MacDonald, Ronald
Formato: Periódico
Idioma:English
Publicado em: Washington, D.C. : International Monetary Fund, 2003.
Colecção:IMF Working Papers; Working Paper ; No. 2003/080
Acesso em linha:Full text available on IMF
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245 1 0 |a Fatal Attraction :   |b A New Measure of Contagion /  |c Tamim Bayoumi, Manmohan Kumar, Giorgio Fazio, Ronald MacDonald. 
264 1 |a Washington, D.C. :  |b International Monetary Fund,  |c 2003. 
300 |a 1 online resource (21 pages) 
490 1 |a IMF Working Papers 
500 |a <strong>Off-Campus Access:</strong> No User ID or Password Required 
500 |a <strong>On-Campus Access:</strong> No User ID or Password Required 
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520 3 |a This paper proposes a new measure of contagion that is good at anticipating future vulnerabilities. Building on previous work, it uses correlations of equity markets across countries to measure contagion, but in a departure from previous practice it measures contagion using the relationship of these correlations with distance. Also in contrast to previous work, our test is good at identifying periods of "positive contagion," in which capital flows to emerging markets in a herd-like manner, largely unrelated to fundamentals. Identifying such periods of "fatal attraction" is important as they provide the essential ingredients for subsequent crises and rapid outflows of capital. 
538 |a Mode of access: Internet 
700 1 |a Fazio, Giorgio. 
700 1 |a Kumar, Manmohan. 
700 1 |a MacDonald, Ronald. 
830 0 |a IMF Working Papers; Working Paper ;  |v No. 2003/080 
856 4 0 |z Full text available on IMF  |u http://elibrary.imf.org/view/journals/001/2003/080/001.2003.issue-080-en.xml  |z IMF e-Library