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Source: Fiscal Vulnerability and Financial Crises in Emerging Market Economies

Series: Occasional Papers

Author(s): Richard Hemming , Axel Schimmelpfennig , and Michael Kell


Publication Date: 23 May 2003

ISBN: 9781589061965

Keywords: Emerging markets, fiscal variables, public debt, currency crises, fiscal policy, external debt

What Are the Fiscal Causes of Crisis? A review of the theoretical literature suggests three main ways in which fiscal policy can cause a financial crisis. These are through an overly...