Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
7373840 | The North American Journal of Economics and Finance | 2018 | 17 Pages |
Abstract
We examine which variables are robust in explaining cross-country differences in the real costs of banking crises. We identify 21 variables frequently used as determinants of the severity of banking crises. After a discussion of five measures based on cumulative output (or output growth) lost after a banking crisis, we examine the drivers of the real impact of banking crises for two preferred measures. Our results suggest that fixed investment and financial openness affect losses in output levels, while fixed investment, the current account balance, liquidity support, monetary policy and financial freedom affect losses in output growth after banking crises.
Keywords
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Philip Wilms, Job Swank, Jakob de Haan,