In this article, we review the empirical literature about sovereign debt and default. As we
survey the work of economists, historians, and political scientists, we also emphasize …

A cutting-edge graduate-level textbook on the macroeconomics of international trade
Combining theoretical models and data in ways unimaginable just a few years ago, open …

This chapter is on quantitative models of sovereign debt crises in emerging economies. We
interpret debt crises broadly to cover all of the major problems a country can experience …

We measure the effects of debt dilution on sovereign default risk and study debt covenants
that could mitigate these effects. We calibrate a baseline model with endogenous debt …

We study fiscal rules using a sovereign default model. A debt-brake (spread-brake) rule
imposes a ceiling on the fiscal deficit when the sovereign debt (spread) is above a threshold …

abstract We evaluate the effectiveness of financial policy rules in a small open economy with
production, liability dollarization and “unconventional shocks”(global liquidity shifts and …

We empirically assess the relative importance of various economic fundamentals in
accounting for the sovereign credit default swap (CDS) spreads of emerging markets during …

In times of sovereign debt crises, International Financial Institutions provide temporary
financial support contingent on the implementation of specific macroeconomic policies. This …

We study optimal macroprudential policy in a model in which unconventional shocks, in the
form of news about future fundamentals and regime changes in world interest rates, interact …

We estimate a model with an occasionally-binding collateral constraint, and find that half of
productivity shocks are anticipated by households. In the estimated model, good news about …