This paper incorporates a global bank into a two-country business cycle model. The bank
collects deposits from households and makes loans to entrepreneurs, in both countries. It …

This paper analyzes waves in international capital flows. We develop a new methodology for
identifying episodes of extreme capital flow movements using data that differentiates activity …

This paper surveys the theoretical and empirical literature on the macroeconomic
implications of financial imperfections. It focuses on two major channels through which …

We study the effect of financial integration (through banks) on the transmission of
international business cycles. In a sample of 18/20 developed countries between 1978 and …

This paper studies the synchronization of financial cycles across 17 advanced economies
over the past 150 years. The comovement in credit, house prices, and equity prices has …

The traditional approach to international finance is to view capital flows as the financial
counterpart to savings and investment decisions, assuming further that the GDP boundary …

Recent macroeconomic experience has drawn attention to the importance of
interdependence among countries through financial markets and institutions, independently …

Macro developments leading up to the 2008 crisis displayed an unprecedented degree of
international synchronization. Before the crisis, all G7 countries experienced credit growth …

We study how US credit supply shocks are transmitted to other economies. We use the
recently developed GVAR approach to model financial variables jointly with macroeconomic …

This paper explores the nature of macroeconomic spillovers from advanced economies to
emerging market economies (EMEs) and the consequences for independent use of …