Series: IMF Working Papers
Author(s): Tamon Asonuma
Publisher: INTERNATIONAL MONETARY FUND
Publication Date: 25 February 2016
Keywords: Sovereign Defaults, External Debt, Real Exchange Rate, Currency Composition of Debt, Bond Spreads, exchange, default, exchange rate, defaults, International Lending and Debt Problems
Emerging countries experience real exchange rate depreciations around defaults. In this paper, we examine this observed pattern empirically and through the lens of a dynamic stochastic general equilibrium model. Th...