This paper argues that current account statistics may provide a poor indication for the real evolution of a country's net foreign assets. This may be due to a series of factors including the mismeasurement of FDI, unreported trade of insurance or liquidity services and debt relief. Because of...

In this paper, we introduce the first comprehensive database on sovereign debt systematically compiled to ensure comparability, for all countries in the Americas, and use this new data to highlight the main stylized facts regarding sovereign debt for developing America in the last two decades....

This paper studies the effect of inflation on the operation of financial markets, and shows how the ability of financial intermediaries to distinguish among heterogenous firms is reduced as inflation rises. This point is illustrated by presenting a simple model where inflation affects firms`...

This paper estimates bond-by-bond haircuts realized investor losses in recent debt restructurings in Russia, Ukraine, Pakistan, Ecuador, Argentina, and Uruguay. We consider both external and domestic retructurings. Haircuts are computed as the percentage difference between the present values of...

This paper surveys the evolution of the Chilean financial system from 1975 to 1985, analyzes the causes and the consequences of the major crisis in the financial system during 1981-83, and examines the measures adapted to contain the crisis and restore the financial system to normalcy. The...

We show that isolated capital cities are robustly associated with greater levels of corruption across US states, in line with the view that spatial distance between citizens and the seat of political power reduces accountability, and in contrast with the alternative hypothesis that keeping...

We show that isolated capital cities are robustly associated with greater levels of corruption across US states, in line with the view that spatial distance between citizens and the seat of political power reduces accountability, and in contrast with the alternative hypothesis that keeping...

We investigate the relationship between corruption and political stability, from both theoretical and empirical perspectives. We propose a model of incumbent behavior that features the interplay of two effects : A horizon effect, whereby greater instability leads the incumbent to embezzle more...

We construct an axiomatic index of spatial concentration around a center or capital point of interest, a concept with wide applicability from urban economics, economic geography and trade, to political economy and industrial organization. We propose basic axioms (decomposability and...