02036cas a2200253 a 4500 AALejournalIMF011847 230101c9999 xx r poo 0 0eng d 5.00 USD 9781475503456 1018-5941 BD-DhAAL BD-DhAAL Kochanova, Anna. Country Stress Events : Does Governance Matter? / Anna Kochanova, Carlos Caceres. Washington, D.C. : International Monetary Fund, 2012. 1 online resource (44 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper analyzes the linkages between governance quality and country stress events. It focuses on two types of events: fiscal and political stress events, for which two innovative stress indicators are introduced. The results suggest that weaker governance quality is associated with a higher incidence of both fiscal and political stress events. In particular, internal accountability, which measures the responsiveness of governments to improving the quality of the bureaucracy, public service provision, and respect for the institutional framework in place, is positively associated with fiscal stress events. However, external accountability, which captures government accountability before the public in general, through elections and the democratic process, seems to be more important for political stress events. These results hold when using balanced country samples where region, oil-exporter status, income level, and time are taken into account. Mode of access: Internet Caceres, Carlos. IMF Working Papers; Working Paper ; No. 2012/116 Full text available on IMF http://elibrary.imf.org/view/journals/001/2012/116/001.2012.issue-116-en.xml IMF e-Library