This setting lets you change the way you view articles. You can choose to have articles open in a dialog window, a new tab, or directly in the same window.
Open in Dialog
Open in New Tab
Open in same window

Journal of Economic Literature: Vol. 47 No. 3 (September 2009)

Expand

Quick Tools:

Print Article Summary
Export Citation
Sign up for Email Alerts Follow us on Twitter Subscription Information
(Institutional Administrator Access)

Explore:

JEL - All Issues

JEL Forthcoming Articles JEL Indexes (Members Only)

The Economics and Law of Sovereign Debt and Default

Article Citation

Panizza, Ugo, Federico Sturzenegger, and Jeromin Zettelmeyer. 2009. "The Economics and Law of Sovereign Debt and Default." Journal of Economic Literature, 47(3): 651-98.

DOI: 10.1257/jel.47.3.651

Abstract

This paper surveys the recent literature on sovereign debt and relates it to the evolution of the legal principles underlying the sovereign debt market and the experience of the most recent debt crises and defaults. It finds limited support for theories that explain the feasibility of sovereign debt based on either external sanctions or exclusion from the international capital market and more support for explanations that emphasize domestic costs of default. The paper concludes that there remains a case for establishing institutions that reduce the cost of default but the design of such institutions is not a trivial task.

Article Full-Text Access

Full-text Article

Authors

Panizza, Ugo (UNCTAD and Graduate Institute, Geneva)
Sturzenegger, Federico (U Torcuato di Tella and Banco Ciudad)
Zettelmeyer, Jeromin (IMF and European Bank for Reconstruction and Development)

JEL Classifications

F34: International Lending and Debt Problems
K33: International Law
O19: International Linkages to Development; Role of International Organizations
P33: Socialist Institutions and Their Transitions: International Trade, Finance, Investment, and Aid


Journal of Economic Literature


Quick Tools:

Sign up for Email Alerts

Follow us on Twitter

Subscription Information
(Institutional Administrator Access)

Explore:

JEL - All Issues

JEL - Forthcoming Articles

JEL Indexes (Members Only)


Virtual Field Journals


AEA Member Login:


AEAweb | AEA Journals | Contact Us