 | Capital Controls or Macroprudential Regulation? Author/Editor: Anton Korinek, Damiano Sandri. Release Date:October, 2015 International capital flows can create significant financial instability in emerging economies because of pecuniary externalities associated with exchange rate movements. Does this make it optimal to more...
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 | How Delaying Fiscal Consolidation Affects the Present Value of GDP Author/Editor: Kevin Fletcher, Damiano Sandri. Release Date:March, 2015 We develop a simple model to examine the conditions under which delaying fiscalconsolidation can affect the present value of GDP via the fiscal stance’s effects on theoutput gap and hysteresis. We more...
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 | Debt and Growth: Is There a Magic Threshold? Author/Editor: Andrea Pescatori, Damiano Sandri, John Simon. Release Date:February, 2014 Using a novel empirical approach and an extensive dataset developed by the Fiscal Affairs Department of the IMF, we find no evidence of any particular debt threshold above which medium-term growth more...
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 | Balance-Sheet Shocks and Recapitalizations Author/Editor: Damiano Sandri, Fabian Valencia. Release Date:March, 2012 We develop a dynamic stochastic general equilibrium model with financial frictions on both financial intermediaries and goods-producing firms. In this context, due to high leverage of financial more...
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 | Precautionary Savings in the Great Recession Author/Editor: Ashoka Mody, Franziska Ohnsorge, Damiano Sandri. Release Date:February, 2012 Heightened uncertainty since the onset of the Great Recession has materially increased saving rates, contributing to lower consumption and GDP growth. Consistent with a model of precautionary savings more...
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 | The Eurozone Crisis : How Banks and Sovereigns Came to Be Joined At the Hip Author/Editor: Damiano Sandri, Ashoka Mody. Release Date:November, 2011 We use the rise and dispersion of sovereign spreads to tell the story of the emergence and escalation of financial tensions within the eurozone. This process evolved through three stages. Following more...
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 | Precautionary Savings and Global Imbalances in World General Equilibrium Author/Editor: Damiano Sandri. Release Date:June, 2011 In this paper we assess the implications of precautionary savings for global imbalances by considering a world economy model composed by the US, the Euro Area, Japan, China, oil-exporting countries, more...
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 | Current Account Rebalancing and Real Exchange Rate Adjustment Between the U.S. and Emerging Asia Author/Editor: Damiano Sandri, Pau Rabanal, Isabelle Mejean. Release Date:March, 2011 A reduction in the U.S. current account deficit vis-à-vis emerging Asia involves a shift in demand from U.S. to emerging Asia tradable goods and a change in international relative prices. This paper more...
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 | Growth and Capital Flows with Risky Entrepreneurship Author/Editor: Damiano Sandri. Release Date:February, 2010 This paper shows that the behavior of entrepreneurs facing incomplete financial markets and risky investment can explain why growth accelerations in developing countries tend to be associated with more...
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 | U.S. Consumption after the 2008 Crisis Author/Editor: Jaewoo Lee, Pau Rabanal, Damiano Sandri. Release Date:January, 2010 U.S. household consumption declined sharply in late 2008, marking a departure from thetrend of a steady increase in U.S. consumption as a share of income since the 1980s.Combining econometric and more...
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