Notes on contagion

Reinhart, Carmen and Kaminsky, Graciela and Goldstein, Morris (2000): Notes on contagion. Published in: Assessing Financial Vulnerability: An Early Warning System for Emerging Markets, Institute for International Economics (2000)

Abstract

This note reviews the theories as to why financial crises spill over across national boundaries. We discuss alternative frameworks ranging from bilateral trade links to more complex financial interconnections via banks and other investors. We review the evidence on which channels of contagion mattered most in the numerous financial crises episodes of the 1990s.

• Item Type: MPRA Paper
• Language: English
• Keywords: International financial contagion, trade, banks, stock markets
• Subjects: F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance; F - International Economics > F3 - International Finance > F32 - Current Account Adjustment ; Short-Term Capital Movements; F - International Economics > F3 - International Finance > F30 - General; F - International Economics > F3 - International Finance > F31 - Foreign Exchange; F - International Economics > F3 - International Finance > F36 - Financial Aspects of Economic Integration

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