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Our aim is to explore the role of financial aid in a default episode. To that end, we develop a dynamic stochastic quantitative model of sovereign default featuring fiscal policy, endogenous financial aid and risk-averse foreign lenders. After calibrating the model, we feed output shocks into...
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world. This literature includes empirical evaluations of how past climatic events have affected fiscal outcomes, empirical …
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. Our accounting data includes discretionary contributions of 27 OECD countries to the World Bank from 2002 to 2013 at the …
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