Predicting Sovereign Debt Crises /

We develop an early-warning model of sovereign debt crises. A country is defined to be in a debt crisis if it is classified as being in default by Standard and Poor's, or if it has access to nonconcessional IMF financing in excess of 100 percent of quota. By means of logit and binary recursive...

Fuld beskrivelse

Bibliografiske detaljer
Hovedforfatter: Schimmelpfennig, Axel
Andre forfattere: Manasse, Paolo, Roubini, Nouriel
Format: Tidsskrift
Sprog:English
Udgivet: Washington, D.C. : International Monetary Fund, 2003.
Serier:IMF Working Papers; Working Paper ; No. 2003/221
Online adgang:Full text available on IMF
Beskrivelse
Summary:We develop an early-warning model of sovereign debt crises. A country is defined to be in a debt crisis if it is classified as being in default by Standard and Poor's, or if it has access to nonconcessional IMF financing in excess of 100 percent of quota. By means of logit and binary recursive tree analysis, we identify macroeconomic variables reflecting solvency and liquidity factors that predict a debt-crisis episode one year in advance. The logit model predicts 74 percent of all crises entries while sending few false alarms, and the recursive tree 89 percent while sending more false alarms.
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Fysisk beskrivelse:1 online resource (41 pages)
Format:Mode of access: Internet
ISSN:1018-5941
Adgang:Electronic access restricted to authorized BRAC University faculty, staff and students