Severity of the Crisis and its Transmission Channels
The current global crisis, although initially circumscribed to the US housing market, spread rapidly across markets and borders. It has affected almost all countries through different reinforcing channels: the contraction in international trade, ca...
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| Format: | Brief |
| Language: | English |
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World Bank, Washington, DC
2012
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| Online Access: | http://documents.worldbank.org/curated/en/2009/12/12806155/severity-crisis-transmission-channels http://hdl.handle.net/10986/10946 |
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okr-10986-109462021-04-23T14:02:53Z Severity of the Crisis and its Transmission Channels Calderon, Cesar Didier, Tatiana ADVANCED ECONOMIES AGGREGATE DEMAND ANNUAL GROWTH ANNUAL GROWTH RATE ASSET VALUES AVERAGE GROWTH BANKING SYSTEM BUDGET DEFICITS BUSINESS CYCLE CAPITAL FLOW CAPITAL FLOWS CAPITAL INFLOWS CENTRAL BANKS COMMODITY COMMODITY PRICES CONSENSUS FORECAST CONSENSUS FORECASTS CORRELATION ANALYSIS COUNTRY CREDIT CREDIT GROWTH CREDIT INTERMEDIATION CREDIT RATING CURRENCY DEBT DEBT FLOWS DECELERATION IN GROWTH DEPENDENT VARIABLE DEPOSIT DEVELOPING COUNTRIES DOMESTIC CREDIT DOMESTIC CURRENCIES DOMESTIC DEMAND DOMESTIC FINANCIAL MARKETS DOMESTIC FINANCIAL SECTOR ECONOMIC CONSEQUENCES ECONOMIC OUTLOOK EMERGING ECONOMIES EMERGING MARKET EMERGING MARKET ECONOMIES EMPIRICAL EVIDENCE EMPIRICAL STUDIES EQUITY HOLDINGS EXCHANGE RATE EXCHANGE RATE FLEXIBILITY EXCHANGE RATES EXPORTERS EXPORTS EXPOSURE EXTERNAL ASSETS EXTERNAL DEMAND EXTERNAL IMBALANCES EXTERNAL SHOCKS FEDERAL RESERVE FEDERAL RESERVE BANK FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL FLOWS FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIATION FINANCIAL MARKET FINANCIAL OPENNESS FINANCIAL POLICIES FINANCIAL SAVINGS FINANCIAL SECTOR FINANCIAL SHOCK FINANCIAL SYSTEM FINANCIAL SYSTEMS FISCAL POLICIES FISCAL POLICY FORECASTS FOREIGN FUNDS FOREIGN LIABILITIES FOREIGN TRADE GDP GDP PER CAPITA GOVERNMENT EXPENDITURES GOVERNMENT REVENUES GROWTH RATE GROWTH RATES INCOME INCOME LEVEL INDEPENDENT VARIABLES INDUSTRIAL ECONOMIES INFLATION INFLATION RATES INSTITUTIONAL INVESTOR INTERNATIONAL ECONOMICS INTERNATIONAL MARKET INTERNATIONAL TRADE LOAN LONG RUN MACROECONOMIC FRAMEWORK MACROECONOMIC POLICIES MACROECONOMIC POLICY MACROECONOMICS MARKET FINANCE MIDDLE INCOME COUNTRIES MONETARY AREA MONETARY FRAMEWORKS MONETARY POLICY NON-PERFORMING LOANS OPTIMUM CURRENCY AREA PORTFOLIO PRICE INDEX PRIVATE CONSUMPTION PROTECTIONISM REAL ECONOMIC ACTIVITY REAL EFFECTIVE EXCHANGE RATE REAL EXCHANGE RATE REAL GDP REAL GROWTH RATES REMITTANCES RICH COUNTRIES SCATTER PLOT SHARE OF EQUITY SIGNIFICANT EFFECT STOCK MARKET STOCK MARKET CAPITALIZATION STOCK MARKET PRICES STOCK MARKETS STOCK PRICE STOCK PRICES STOCKS TOTAL EXPORTS TRADE CREDIT TRADE LIBERALIZATION TRADE OPENNESS TRADE REGIMES TRADE VOLUMES TRADING TRADING PARTNERS TROUGH VOLATILITY WORLD ECONOMY The current global crisis, although initially circumscribed to the US housing market, spread rapidly across markets and borders. It has affected almost all countries through different reinforcing channels: the contraction in international trade, capital flows, remittances, and international commodity prices. The main goal of this note is to empirically analyze the mechanisms through which the financial crisis of 2007-2009 propagated throughout the world by characterizing the main factors behind the fall in Gross Domestic Product (GDP) growth rates. The findings indicate that a greater decline in the growth rate was registered in countries with higher de facto trade openness, less resilient domestic financial markets, and, to a lesser extent, improved macroeconomic frameworks. To complement this evidence, we construct an aggregate index of the severity of the crisis that captures the real and financial consequences in each country of this unprecedented global financial shock. 2012-08-13T13:39:14Z 2012-08-13T13:39:14Z 2009-12 http://documents.worldbank.org/curated/en/2009/12/12806155/severity-crisis-transmission-channels http://hdl.handle.net/10986/10946 English Latin America and the Caribbean Region (LCR) Crisis Briefs CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Brief Publications & Research Latin America & Caribbean |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
ADVANCED ECONOMIES AGGREGATE DEMAND ANNUAL GROWTH ANNUAL GROWTH RATE ASSET VALUES AVERAGE GROWTH BANKING SYSTEM BUDGET DEFICITS BUSINESS CYCLE CAPITAL FLOW CAPITAL FLOWS CAPITAL INFLOWS CENTRAL BANKS COMMODITY COMMODITY PRICES CONSENSUS FORECAST CONSENSUS FORECASTS CORRELATION ANALYSIS COUNTRY CREDIT CREDIT GROWTH CREDIT INTERMEDIATION CREDIT RATING CURRENCY DEBT DEBT FLOWS DECELERATION IN GROWTH DEPENDENT VARIABLE DEPOSIT DEVELOPING COUNTRIES DOMESTIC CREDIT DOMESTIC CURRENCIES DOMESTIC DEMAND DOMESTIC FINANCIAL MARKETS DOMESTIC FINANCIAL SECTOR ECONOMIC CONSEQUENCES ECONOMIC OUTLOOK EMERGING ECONOMIES EMERGING MARKET EMERGING MARKET ECONOMIES EMPIRICAL EVIDENCE EMPIRICAL STUDIES EQUITY HOLDINGS EXCHANGE RATE EXCHANGE RATE FLEXIBILITY EXCHANGE RATES EXPORTERS EXPORTS EXPOSURE EXTERNAL ASSETS EXTERNAL DEMAND EXTERNAL IMBALANCES EXTERNAL SHOCKS FEDERAL RESERVE FEDERAL RESERVE BANK FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL FLOWS FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIATION FINANCIAL MARKET FINANCIAL OPENNESS FINANCIAL POLICIES FINANCIAL SAVINGS FINANCIAL SECTOR FINANCIAL SHOCK FINANCIAL SYSTEM FINANCIAL SYSTEMS FISCAL POLICIES FISCAL POLICY FORECASTS FOREIGN FUNDS FOREIGN LIABILITIES FOREIGN TRADE GDP GDP PER CAPITA GOVERNMENT EXPENDITURES GOVERNMENT REVENUES GROWTH RATE GROWTH RATES INCOME INCOME LEVEL INDEPENDENT VARIABLES INDUSTRIAL ECONOMIES INFLATION INFLATION RATES INSTITUTIONAL INVESTOR INTERNATIONAL ECONOMICS INTERNATIONAL MARKET INTERNATIONAL TRADE LOAN LONG RUN MACROECONOMIC FRAMEWORK MACROECONOMIC POLICIES MACROECONOMIC POLICY MACROECONOMICS MARKET FINANCE MIDDLE INCOME COUNTRIES MONETARY AREA MONETARY FRAMEWORKS MONETARY POLICY NON-PERFORMING LOANS OPTIMUM CURRENCY AREA PORTFOLIO PRICE INDEX PRIVATE CONSUMPTION PROTECTIONISM REAL ECONOMIC ACTIVITY REAL EFFECTIVE EXCHANGE RATE REAL EXCHANGE RATE REAL GDP REAL GROWTH RATES REMITTANCES RICH COUNTRIES SCATTER PLOT SHARE OF EQUITY SIGNIFICANT EFFECT STOCK MARKET STOCK MARKET CAPITALIZATION STOCK MARKET PRICES STOCK MARKETS STOCK PRICE STOCK PRICES STOCKS TOTAL EXPORTS TRADE CREDIT TRADE LIBERALIZATION TRADE OPENNESS TRADE REGIMES TRADE VOLUMES TRADING TRADING PARTNERS TROUGH VOLATILITY WORLD ECONOMY |
| spellingShingle |
ADVANCED ECONOMIES AGGREGATE DEMAND ANNUAL GROWTH ANNUAL GROWTH RATE ASSET VALUES AVERAGE GROWTH BANKING SYSTEM BUDGET DEFICITS BUSINESS CYCLE CAPITAL FLOW CAPITAL FLOWS CAPITAL INFLOWS CENTRAL BANKS COMMODITY COMMODITY PRICES CONSENSUS FORECAST CONSENSUS FORECASTS CORRELATION ANALYSIS COUNTRY CREDIT CREDIT GROWTH CREDIT INTERMEDIATION CREDIT RATING CURRENCY DEBT DEBT FLOWS DECELERATION IN GROWTH DEPENDENT VARIABLE DEPOSIT DEVELOPING COUNTRIES DOMESTIC CREDIT DOMESTIC CURRENCIES DOMESTIC DEMAND DOMESTIC FINANCIAL MARKETS DOMESTIC FINANCIAL SECTOR ECONOMIC CONSEQUENCES ECONOMIC OUTLOOK EMERGING ECONOMIES EMERGING MARKET EMERGING MARKET ECONOMIES EMPIRICAL EVIDENCE EMPIRICAL STUDIES EQUITY HOLDINGS EXCHANGE RATE EXCHANGE RATE FLEXIBILITY EXCHANGE RATES EXPORTERS EXPORTS EXPOSURE EXTERNAL ASSETS EXTERNAL DEMAND EXTERNAL IMBALANCES EXTERNAL SHOCKS FEDERAL RESERVE FEDERAL RESERVE BANK FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL FLOWS FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIATION FINANCIAL MARKET FINANCIAL OPENNESS FINANCIAL POLICIES FINANCIAL SAVINGS FINANCIAL SECTOR FINANCIAL SHOCK FINANCIAL SYSTEM FINANCIAL SYSTEMS FISCAL POLICIES FISCAL POLICY FORECASTS FOREIGN FUNDS FOREIGN LIABILITIES FOREIGN TRADE GDP GDP PER CAPITA GOVERNMENT EXPENDITURES GOVERNMENT REVENUES GROWTH RATE GROWTH RATES INCOME INCOME LEVEL INDEPENDENT VARIABLES INDUSTRIAL ECONOMIES INFLATION INFLATION RATES INSTITUTIONAL INVESTOR INTERNATIONAL ECONOMICS INTERNATIONAL MARKET INTERNATIONAL TRADE LOAN LONG RUN MACROECONOMIC FRAMEWORK MACROECONOMIC POLICIES MACROECONOMIC POLICY MACROECONOMICS MARKET FINANCE MIDDLE INCOME COUNTRIES MONETARY AREA MONETARY FRAMEWORKS MONETARY POLICY NON-PERFORMING LOANS OPTIMUM CURRENCY AREA PORTFOLIO PRICE INDEX PRIVATE CONSUMPTION PROTECTIONISM REAL ECONOMIC ACTIVITY REAL EFFECTIVE EXCHANGE RATE REAL EXCHANGE RATE REAL GDP REAL GROWTH RATES REMITTANCES RICH COUNTRIES SCATTER PLOT SHARE OF EQUITY SIGNIFICANT EFFECT STOCK MARKET STOCK MARKET CAPITALIZATION STOCK MARKET PRICES STOCK MARKETS STOCK PRICE STOCK PRICES STOCKS TOTAL EXPORTS TRADE CREDIT TRADE LIBERALIZATION TRADE OPENNESS TRADE REGIMES TRADE VOLUMES TRADING TRADING PARTNERS TROUGH VOLATILITY WORLD ECONOMY Calderon, Cesar Didier, Tatiana Severity of the Crisis and its Transmission Channels |
| geographic_facet |
Latin America & Caribbean |
| relation |
Latin America and the Caribbean Region (LCR) Crisis Briefs |
| description |
The current global crisis, although
initially circumscribed to the US housing market, spread
rapidly across markets and borders. It has affected almost
all countries through different reinforcing channels: the
contraction in international trade, capital flows,
remittances, and international commodity prices. The main
goal of this note is to empirically analyze the mechanisms
through which the financial crisis of 2007-2009 propagated
throughout the world by characterizing the main factors
behind the fall in Gross Domestic Product (GDP) growth
rates. The findings indicate that a greater decline in the
growth rate was registered in countries with higher de facto
trade openness, less resilient domestic financial markets,
and, to a lesser extent, improved macroeconomic frameworks.
To complement this evidence, we construct an aggregate index
of the severity of the crisis that captures the real and
financial consequences in each country of this unprecedented
global financial shock. |
| format |
Publications & Research :: Brief |
| author |
Calderon, Cesar Didier, Tatiana |
| author_facet |
Calderon, Cesar Didier, Tatiana |
| author_sort |
Calderon, Cesar |
| title |
Severity of the Crisis and its Transmission Channels |
| title_short |
Severity of the Crisis and its Transmission Channels |
| title_full |
Severity of the Crisis and its Transmission Channels |
| title_fullStr |
Severity of the Crisis and its Transmission Channels |
| title_full_unstemmed |
Severity of the Crisis and its Transmission Channels |
| title_sort |
severity of the crisis and its transmission channels |
| publisher |
World Bank, Washington, DC |
| publishDate |
2012 |
| url |
http://documents.worldbank.org/curated/en/2009/12/12806155/severity-crisis-transmission-channels http://hdl.handle.net/10986/10946 |
| _version_ |
1764414956557565952 |