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Procyclicality of Financial Systems in Asia

Stefan Gerlach, Paul F. Gruenwald




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 |  2006-07-27 |  2006-07-27 | File type: PDF

||About the Author|DAVID BURTON Director, Asia and Pacific Department, International Monetary Fund (IMF), USA R. SEAN CRAIG Senior Economist, Monetary and Financial Systems Department, International Monetary Fund (IMF), USA E. PHILIP DAVIS Professor of Economics a

The procyclicality of financial systems has received an increasing amount of attention from policymakers, academics, and international organizations in recent years. This heightened interest stems from a combination of the ongoing globalization of finance, the role of the financial sector in various emerging market crises in the late 1990s, and the potential impact on financial sectors of the upcoming implementation of the Basel II accord. Some degree of financial sector...

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