Unanticipated Shocks and Systemic Influences : The Impact of Contagion in Global Equity Markets in 1998 /

August to September 1998 has been characterized as one of the worst episodes of global financial distress in decades. This paper investigates the transmission of the Russian and the LTCM crises through global equity markets using a panel of 14 developing and industrial countries. The results show th...

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Bibliografski detalji
Glavni autor: Gonzalez-Hermosillo, Brenda
Daljnji autori: Dungey, Mardi, Fry, Renee, Martin, Vance
Format: Žurnal
Jezik:English
Izdano: Washington, D.C. : International Monetary Fund, 2003.
Serija:IMF Working Papers; Working Paper ; No. 2003/084
Online pristup:Full text available on IMF
Opis
Sažetak:August to September 1998 has been characterized as one of the worst episodes of global financial distress in decades. This paper investigates the transmission of the Russian and the LTCM crises through global equity markets using a panel of 14 developing and industrial countries. The results show that contagion was systemic during the period, with industrial countries providing the dominant cross-country transmission linkages. Both crises reinforced each other, highlighting the importance of studying them jointly. An implication of the empirical results is that models of contagion that exclude industrial countries are potentially misspecified and may yield misleading outcomes.
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Opis:1 online resource (28 pages)
Format:Mode of access: Internet
ISSN:1018-5941
Pristup:Electronic access restricted to authorized BRAC University faculty, staff and students