Jain, Devendra Kumar; Rup Singh; Patel, Arvind - In: Cogent economics & finance 8 (2020) 1, pp. 1-17
While a decline in the market value of sovereign assets (below a benchmark level of liabilities) can trigger sovereign distress/default risk, volatility in sovereign assets can increase the risk premium on domestic debt and credit spread on external debt. These can escalate the probability of...