@techreport{Escaith2009International,
abstract = {Because individual firms are interdependent and rely on each other, either as supplier of intermediate goods or client for their own production, an exogenous financial shock affecting a single firm, such as the termination of a line of credit, reverberates through the productive chain. The transmission of the initial financial shock through real channels is tracked by modelling input-output interactions. The paper indicates that when banks operate at the limit of their institutional capacity, defined by the capital adequacy ratio, and if assets are priced to market, then a resonance effect amplifies the back and forth transmission between real and monetary circuits. The paper illustrates the proposed methodology by computing a supply-driven indicator (IRSIC) and indirect demand-driven impacts on five interconnected economies of different characteristics: China, Japan, Malaysia, Thailand and the United States.},
address = {Geneva},
author = {Hubert Escaith and Fabien Gonguet},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {C67; F23; F36; G01; L16; 330; international supply chains; monetary circuit; real linkages; transmission channels of financial shock; Asian International Input-Output Tables; Industrie\"{o}konomik; Multinationales Unternehmen; Supply Chain Management; Auslandsproduktion; Finanzmarktkrise},
language = {eng},
number = {2009-06},
publisher = {World Trade Organization, Economic Research and Statistics Div.},
title = {International trade and real transmission channels of financial shocks in globalized production networks},
type = {Staff working paper ERSD},
url = {http://hdl.handle.net/10419/57598},
year = {2009}
}
