北大金融学课件(英文版)第7章(1课时).ppt

CHAPTER 7 International Lending and Financial Crises International Lending International financial capital flows grew rapidly Major lenders Oil Price and Oil Exporters Categories A. Private lending investing 1. Long term a. direct investment b. loans c. portfolio investment 2. Short term B. Official lending investing Benefits Risks Benefits: similar to domestic lending Resource allocation The lender gives up resources today to get more in the future The borrower gets resources today but must pay more in the future Investment diversification Figure 7.1 Benefits Risks Risks: non-payment default Surges of lending and crises of confidence in developing countries. International Financial Crises: Sources of What Goes Wrong Overlending and overborrowing Exogenous negative international shocks Excessive exposure to exchange rate risk Volatile international short-term lending Contagion Combating Financial Crises Resolving crises after they have occurred ·???? Rescue packages ·???? Debt restructuring Combating Financial Crises Making crises less likely to occur Sound macroeconomic policies Timely and accurate data reports Avoiding short-term borrowing denominated in foreign currencies Better regulation and supervision of banks Questions What is the implication of points on IS curve? Why does IS curve slope downward? What is the implication of points on LM curve? Why does LM curve slope upward? Amanda Hu ? 2008 copy rights, All Rights Reserved. WWII 1970 1980 2000 U.S.A Japan OPEC Source: wikipedia left right Amanda Hu ? 2008 copy rights, All Rights Reserved. * *