Our model
• Many banks i=1,..N and two dates
• Time 0: Choice of investments &...negative externality e(W*-W1) on economy
Externality
W* = z A W1
Economic...
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Any optimal model weighs cost and benefit
“Our framework builds on…from a...2007)
The paper needs to clearly identify which motive it is dealing with
The...
*
Any optimal model weighs cost and benefit
“Our framework builds on…from a...2007)
The paper needs to clearly identify which motive it is dealing with
The...
of open economies have been set up to model international
portfolio choices....and bond holdings within the framework of an open economy macroeconomic...
extent of excessive leverage (Damijan 2014 for example)
The overindebtedness model...and dividends are frozen at 2014 levels
Strengths and weaknesses of the...
