Recovery from a financial crisis: the case of South Korea Jahyeong Koo Financial turbulence and distress characterized much of the 1990s. The decade began with Europe’s exchange-rate crisis of 1992-93 and by 2000 had witnessed two more major financial crises. The unexpected financial meltdown of Mexico, known as the Tequila Crisis, began with the peso […]
Category: Economic & Financial Review
Banking and currency crisis recovery: Brazil’s turnaround of 1999 William C. Gruben Although events that lead to currency crises in countries with pegged or fixed exchange rates are the subject of a large and growing body of literature, how countries get out of these crises has received less attention. (1) This article focuses on how […]
The engine of capitalist process: entrepreneurs in economic theory Robert L. Formaini Let us call a halt to this imaginary dialogue [between Karl Marx and Joseph Schumpeter] and return to the main subject at hand: the neglect of entrepreneurship in modern, mainstream economics. Surely, this neglect must give us pause? It is a scandal that […]
B2B eMarketplace Announcements and Shareholder Wealth – business-to-business – Statistical Data Included Andrew H. Chen In the business-to-business (B2B) sector, new supply-chain models within electronic marketplaces (eMarketplaces) offer firms significantly lower procurement costs, increased operating efficiencies, and expanded market opportunities. Using event-study methodology to look at the period July 1999-March 2000, Andrew Chen and Thomas […]
Consolidation, Technology and the Changing Structure of Banks’ Small Business Lending David P. Ely The U.S. banking industry continues to consolidate, with large, complex banking organizations becoming more important. Traditionally, these institutions have not emphasized small business lending. On the other hand, technological advances, particularly credit scoring models, make it easier for banks to extend […]
Industry Mix and Lending Environment Variability: What Does the Average Bank Face? Jeffery W. Gunther The industrial restructuring of regional economies has resulted in a widespread and substantial reduction in the environmental risk faced by banks. Behind that old proverb “don’t put all your eggs in one basket” lie the potential benefits of diversification. However, […]
Was NAFTA behind Mexico’s high maquiladora growth? – Statistical Data Included William C. Gruben Among the most striking industrial phenomena in the wake of the North American Free Trade Agreement has been the rapid growth of plants that operate under Mexico’s maquiladora program. In its simplest organizational form, a maquiladora plant imports inputs–typically from the […]