Financial Markets Volatility and Performance in Emerging Markets (National Bureau of Economic Research Conference Report)

Capital mobility is a double-edged sword for emerging economies, as governments must weigh the benefits of investment against the potential economic costs and political consequences of currency crises, devaluations, and instability. __Financial Markets Volatility and Performance in Emerging Markets__ addresses the delicate balance between capital mobility and capital controls as developing countries navigate the convoluted global network of private investors, hedge funds, large corporations, and international institutions such as the International Monetary Fund. A group of experts here examine rapidly globalizing financial markets with regard to capital flows and crises, domestic credit, international financial integration, and economic policy. Featuring detailed analyses and cross-national comparisons of countries such as Brazil, Argentina, Uruguay, and Korea, this book will shape economists’ and policymakers’ understanding of the effectiveness of restrictions on capital mobility in the world’s most fragile economies. Capital Mobility Is A Double-edged Sword For Developing Economies, As Governments Must Weigh The Benefits Of Investment Against The Potential Costs And Risks Of Financial Uncertainty. Here, A Group Of Experts Examine Rapidly Globalizing Financial Markets With Regard To Capital Flows And Crises, Domestic Credit, Etc. Links Between Trade And Finance : A Disaggregated Analysis / Joshua Aizenman And Ilan Noy. Comments / Maria Cristina Terra, Thierry Verdier -- Ineffective Controls On Capital Inflows Under Sophisticated Financial Markets : Brazil In The Nineties / Bernardo S. De M. Carvalho And Márcio G.p. Garcia. Comments / Gustavo H.b. Franco, Marcelo Abreu -- Financial Openness, Currency Crises And Output Losses / Sebastian Edwards. Comments / Edmar L. Bacha, Marcelo Kfoury Muinhos -- Capital Market Development : Whither Latin America? / Augusto De La Torre, Juan Carlos Gozzi, And Sergio L. Schmukler. Comment / Ugo Panizza -- Judicial Risk And Credit Market Performance : Micro Evidence From Brazilian Payroll Loans / Ana Carla A. Costa And João M.p. De Mello. Comment / Renato G. Flôres Jr. -- Liquidity Insurance In A Financially Dollarized Economy / Eduardo Levy Yeyati. Comments: Marco Bonomo, Alejandro Werner -- Sudden Stops And Imf-supported Programs / Barry Eichengreen, Poonam Gupta, And Ashoka Mody. Comment / Ilan Goldfajn -- Mutual Reinforcement : Economic Policy Reform And Financial Market Strength / Anne O. Krueger. Edited By Sebastian Edwards And Marcio G.p. Garcia. Includes Bibliographical References And Index. "A group of experts here examine rapidly globalizing financial markets with regard to capital flows and crises, domestic credit, international financial integration, and economic policy. Featuring detailed analyses and cross-national comparisons of countries such as Brazil, Argentina, Uruguay, and Korea, this book will shape economists' and policymakers' understanding of the effectiveness of restrictions on capital mobility in the world's most fragile economies."--Jacket Capital mobility is a double-edged sword for emerging economies, as governments must weigh the benefits of investment against the potential economic costs and political consequences of currency crises, devaluations, and instability. This book addresses the balance between capital mobility and capital controls.