Transmission of Financial Stress in Europe : The Pivotal Role of Italy and Spain, but not Greece /

This paper proposes a stochastic volatility model to measure sovereign financial distress. It examines how key European sovereign credit default swap (CDS) spreads affect each other; specifically, the paper analyses the volatility structure of Germany, Greece, Ireland, Italy, Spain and Portugal. The...

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Bibliographic Details
Main Author: Gonzalez-Hermosillo, Brenda
Other Authors: Johnson, Christian
Format: Journal
Language:English
Published: Washington, D.C. : International Monetary Fund, 2014.
Series:IMF Working Papers; Working Paper ; No. 2014/076
Online Access:Full text available on IMF