Global Factors in Capital Flows and Credit Growth

It is a cliché that the world has become more connected, but the financial crisis and the boom that preceded it have focused attention on the global factors behind credit growth and capital flows. Calvo, Leiderman and Reinhart (1993, 1996) famously distinguished the global "push" factors for capital flows from the country?specific "pull" factors, and the BIS report on global liquidity (the Landau report) has highlighted the role of cross?border banking in the transmission of financial conditions (BIS (2011)).