Which is NOT a potential cost faced by nations that choose against repaying their debts?
A loss of future creditworthiness
B. A loss of foreign assets
C. Moral hazard
Domestic recession
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Which of the following explains the spread of financial crises from one country to another?
A. Global contagion
B. Moral hazard
C. Butterfly trade
D. The Doppler effect
Which of the following identifies as a major force that can intensify an international financial crisis?
A persistent negative output gap
B. Current account convertibility
C. Dispute settlement procedures at the IMF
D. Global contagion
Which of the following crises involved the use of "tesobonos"?
A. The 1982 debt crisis
B. The Asian currency crisis in 1997
C. The Brazilian crisis in 1999
D. The Mexican crisis in 1994
Which country first broke out the 1997 Asian financial crisis?
A. Thailand
B. South Korea
C. Hong Kong
D. Malaysia