infonet-economy

This paper presents an impact evaluation of three nutritional programs implemented in Puebla, Mexico, run by SEDIF, a social assistance institution. The present study uses both a propensity score matching and weighting in order to balance the treatment and the control groups in terms of observable characteristics, and to estimate, later on, the causal effect of the programs on…

Microfinance has played a key role in including the poor in financial markets. This paper uses microfinance data to approximate financial inclusion in the poorer segments of the population and proposes a quantile regression approach to study the development of microfinance markets. Our approach accounts for the dynamic and heterogeneous impacts that key drivers may have across…

The trade linked to international production networks – supply-chain trade for short – is associated with momentous global economic changes. This paper presents a portrait of the global pattern of supply-chain trade and how it has evolved since 1995. The paper draws on a variety of data sources but most heavily on the recent World Input-Output Database. China’s supply-chain trade…

Organizational configurations, sets of firms with similarities in a number of essential characteristics, provide important insights into the synergies inherent to certain combinations of structural attributes and the performance effects of firms’ retention of, adaptation to, or decoupling from high-performing configurations. The fundamental assumption is that the better a firm’s “fit…

The fact that collateral whose function is to secure repayment via its attributed low credit and liquidity risk is traded prominently in a "shadow" banking environment may still go unnoticed. This article analyzes the role of credit rating agency (CRA) ratings in the construction of collateral using the example of sovereign ratings as eligibility criterion for sovereign…

The paper investigates transmission of different foreign and domestic shocks to bank lending activity in Bosnia and Herzegovina through the bank lending channel. The bank lending channel is analyzed in a time series cross sectional data framework for the period 2006q1- 2014q1, investigating reactions of small vs. large banks to those shocks. First, the evidence has been found that…

This paper evaluates the importance of building a composite metric of financial soundness for the private corporate sector in Colombia. Instead of relying on the individual and sometimes restrictive financial ratio analysis approach, the purpose of this document is to provide a single metric aimed at measuring the financial health of firms. Said metric, the financial soundness index…

This paper presents a DSGE model with banks that face moral hazard in management. Banks receive demand deposits and fund investment projects. Banks are subject to potential withdrawals by depositors which may force them into early liquidation of their investments. The likelihood of this happening depends on the bank management efforts to keep the bank financially sound and the degree…

At the forefront of the economic consolidation of the euro area, banking integration came to a stall following the beginning of the 2008 crisis. Since then European banks started retrenching their asset holdings within national borders, effectively reducing the scale of their European operations. This paper explores the link between banking integration and fragmentation in the…