; ; ; "ActiveFedora::Aggregation::ListSource" . a , ; "Business Cycles in Emerging Economies: The Role of Interest Rates"; ; "batchuser@example.com"; "Perri, Fabrizio", "Neumeyer, Pablo Andrés"; "Federal Reserve Bank of Minneapolis"; "Financial crises", "Sudden stops", "International business cycles", "Working capital", "Country risk"; "F41 - Open Economy Macroeconomics", "F32 - Current Account Adjustment; Short-term Capital Movements", "E32 - Business Fluctuations; Cycles"; "We find that in a sample of emerging economies business cycles are more volatile than in developed ones, real interest rates are countercyclical and lead the cycle, consumption is more volatile than output and net exports are strongly countercyclical. We present a model of a small open economy, where the real interest rate is decomposed in an international rate and a country risk component. Country risk is affected by fundamental shocks but, through the presence of working capital, also amplifies the effects of those shocks. The model generates business cycles consistent with Argentine data. Eliminating country risk lowers Argentine output volatility by 27% while stabilizing international rates lowers it by less than 3%."^^; "2004-03"; "2019-06-21T19:19:38.043571432+00:00"^^; "https://doi.org/10.21034/sr.335"; ; "https://creativecommons.org/licenses/by-nc/4.0/"; "Thu Nov 7 21:49:27 2019"; "https://creativecommons.org/licenses/by-nc/4.0/"; "Research Paper"; "601", "558"; "Staff report (Federal Reserve Bank of Minneapolis. Research Department)"; "335"; "International business cycles", "Working capital", "Financial crises", "Country risk", "Sudden stops"; ; ; ; ; "Federal Reserve Bank of Minneapolis. Research Department"; "Published in: _Journal of Monetary Economics_ (Vol. 52, No. 2, March 2005, pp. 345-380) https://doi.org/10.1016/j.jmoneco.2004.04.011. "^^; ; "Publication" . ; .