Private Sector Involvement and International Financial Crises

• "One-stop primer" for key theoretical and empirical models in the financial crisis literature.
• Provides the first analytical synthesis of the recent debate on the management of international financial crises.
• Provides an analytical treatment of some key issues in crisis management that are at the forefront of current research in the area.

Readership: Graduate students, policymakers, and researchers seeking an organised treatment of the literature on financial crisis management.

Michael Chui, Hong Kong Monetary Authority, and Prasanna Gai, Australian National University and Bank of England

"...the authors do an excellent job. The book will appeal to anyone interested in the serious study of financial crises and the design of international financial mechanisms." - Times Higher Education Supplement

1: Introduction
Part I: The Analytics of Crisis
2: Overview: causes, costs, and prediction
3: Sunspot-based models
4: Fundamentals-based models
5: Reconciling the two views
6: Crisis costs and incentives to repay
7: Spotting financial crises
Part II: Reforming the International Financial Architecture
8: Overview: dealing with crises
9: Sovereign debt workouts
10: Open issues
11: The 'original sin' problem
12: Next steps in the debate
Appendix A: First-order differential equation
Appendix B: Conditional distributions
Index