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Can I read Countercyclical Foreign Currency Borrowing: Eurozone Firms in 2007–09 on EtoBox?
Countercyclical Foreign Currency Borrowing: Eurozone Firms in 2007–09 by PHILIPPE BACCHETTA; OUARDA MERROUCHE is a Economics, Econometrics and Finance article available to read on EtoBox.
What is Countercyclical Foreign Currency Borrowing: Eurozone Firms in 2007–09 about?
## Abstract Using syndicated loan‐level data, we document and explain the causes and implications of a new and surprising stylized fact. In the midst of the financial crisis, dollar borrowing by leveraged Eurozone (EZ) corporates rose dramatically relative to their euro borrowing. We show that this resulted from a shift from EZ to non‐EZ banks, mainly U.S. banks. This was combined with an increase in the proportion of dollar lending by non‐EZ banks, explained by a rise in the relative cost of euro wholesale funding and the disruptions in the FX swap market. Non‐EZ banks thus dampened the 2007–09 credit crunch in Europe.
Who reads Countercyclical Foreign Currency Borrowing: Eurozone Firms in 2007–09?
It is typically read by researchers, students, and practitioners in Economics, Econometrics and Finance.
- Author
- PHILIPPE BACCHETTA; OUARDA MERROUCHE
- Publisher
- Wiley
- Published
- 2021
- Language
- EN
- Field
- Economics, Econometrics and Finance (Social Sciences)