Browsing Universidad Torcuato Di Tella by Author "Esquivel, Carlos"

Now showing items 1-1 of 1

    • Default and interest rate shocks: Renegotiation matters 

      Nicolini, Juan Pablo; Almeida, Victor; Esquivel, Carlos; Kehoe, Timothy Jerome (Universidad Torcuato Di TellaRutgers University, Department of EconomicsUniversity of Minnesota, 2023)
      We develop a sovereign default model with endogenous re-entry to financial markets via debt renegotiation. We use this model to evaluate how shocks to risk-free interest rates trigger default episodes through two channels: ...