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EIB Working Papers 2018 05 - Sovereign risk and corporate cost of borrowing: Evidence from a counterfactual study - cover
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EIB Working Papers 2018 05 - Sovereign risk and corporate cost of borrowing: Evidence from a counterfactual study

Bank European Investment

Editora: European Investment Bank

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Sinopse

This paper assesses the impact of the sovereign risk spill-overs onto corporate cost of borrowing in selected euro area countries.It confirms the heterogeneity of sovereign risk spill-overs and finds divergence in sovereign risk transmission between core and peripheral Member States during financial and sovereign debt crises.It suggests that standard linear models may underestimate the underlying pass-through distortions, suggesting the existence of nonlinear sovereign risk effects.
Disponível desde: 22/11/2018.

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