We explore the role of sectoral debt dynamics in shaping business cycles in a sample of 52 Emerging Market Economies … (EMEs) and Frontier Market Economies (FMEs) from 2005 to 2021. Higher household debt levels and growth are associated with … between US dollar cycles, sectoral debt levels and growth, and economic activity. Among developed EMEs, higher expected …

Emerging countries exhibit volatile fiscal policies and frequent sovereign debt crises, that significantly diminish the …

has real effects: firms that borrow from more exposed banks experience lower debt growth and investment rates. These …

period 1940-2014, we document the following evidence that corporate debt plays a key role in explaining boom-bust cycles …, financial crises, and slow macroeconomic recoveries: (i) corporate debt accounts for two thirds of the aggregate credit … expansion before crises and three quarters of total nonperforming loans during the bust; (ii) expansions in corporate debt …

markets sustains the safety of its public debt. Our findings indicate that the loss of this special status in the event of a … default significantly augments the debt capacity for the US. Debt levels would be up to 30% lower if the US did not have this … special status. Most of this extra debt capacity arises from the loss of the convenience yield on US Treasuries, which makes …

differed from the Great Recession in that sovereign debt markets remained calm and spreads barely responded. We study the … economy model with long-term debt and default, which we augment with official lenders, heterogeneous households and sectors … boom-bust cycle of Greece before Covid and salient observations on macro aggregates, government debt, and the sovereign …