Iacovone, Leonardo
Banking Crises and Exports Lessons From the Past / Iacovone, Leonardo [electronic resource] : Iacovone, Leonardo - Washington, D.C., The World Bank, 2009 - 1 online resource (43 p.) - Policy research working papers. World Bank e-Library. .
This paper analyzes the impact of banking crises on manufacturing exports exploiting the fact that sectors differ in their needs for external financing. Relying on data from 23 banking crises episodes involving both developed and developing countries during the period 1980-2000 the authors separate the impact of banking crises on export growth from that of other exogenous shocks (i.e. demand shocks). Their findings show that during a crisis the export of sectors more dependent on external finance grow significantly less than other sectors. However, this result holds only for sectors depending more heavily on banking finance as opposed to inter-firm finance. Furthermore, sectors characterized by higher degree of assets tangibility appear to be more resilient in the face of a banking crisis. The effect of the banking crises on exports is robust and additional to external demand shocks. The effect of the latter is independent and additional to that of a banking shock, and is particularly significant for sectors producing durable goods.
10.1596/1813-9450-5016
Access to Finance
Banking crises
Banking crisis
Banking system
Bankruptcy and Resolution of Financial Distress
Banks and Banking Reform
Checks
Currencies and Exchange Rates
Debt Markets
Developing countries
Durable goods
Economic Theory and Research
Emerging Markets
Export growth
Exporters
External finance
Finance and Financial Sector Development
Financial crises
Financial crisis
Financial development
Financial distress
Financial Intermediation
Financial support
Financial system
International bank
International trade
Investment and Investment Climate
Labor Policies
Macroeconomics and Economic Growth
Private Sector Development
Social Protections and Labor
Tangible assets
Trading
Banking Crises and Exports Lessons From the Past / Iacovone, Leonardo [electronic resource] : Iacovone, Leonardo - Washington, D.C., The World Bank, 2009 - 1 online resource (43 p.) - Policy research working papers. World Bank e-Library. .
This paper analyzes the impact of banking crises on manufacturing exports exploiting the fact that sectors differ in their needs for external financing. Relying on data from 23 banking crises episodes involving both developed and developing countries during the period 1980-2000 the authors separate the impact of banking crises on export growth from that of other exogenous shocks (i.e. demand shocks). Their findings show that during a crisis the export of sectors more dependent on external finance grow significantly less than other sectors. However, this result holds only for sectors depending more heavily on banking finance as opposed to inter-firm finance. Furthermore, sectors characterized by higher degree of assets tangibility appear to be more resilient in the face of a banking crisis. The effect of the banking crises on exports is robust and additional to external demand shocks. The effect of the latter is independent and additional to that of a banking shock, and is particularly significant for sectors producing durable goods.
10.1596/1813-9450-5016
Access to Finance
Banking crises
Banking crisis
Banking system
Bankruptcy and Resolution of Financial Distress
Banks and Banking Reform
Checks
Currencies and Exchange Rates
Debt Markets
Developing countries
Durable goods
Economic Theory and Research
Emerging Markets
Export growth
Exporters
External finance
Finance and Financial Sector Development
Financial crises
Financial crisis
Financial development
Financial distress
Financial Intermediation
Financial support
Financial system
International bank
International trade
Investment and Investment Climate
Labor Policies
Macroeconomics and Economic Growth
Private Sector Development
Social Protections and Labor
Tangible assets
Trading