GLOBAL FINANCIAL CONDITIONS,

COUNTRY SPREADS, AND

MACROECONOMIC FLUCTUATIONS IN
EMERGING COUNTRIES
Journal

This paper is written to submit one of Tax Management’s assignment from

Lecturer Endang Mahfudin, S.E., M.M.

Created by:
Indri Aprilyani 1510631030088
Class: 6 AK 8

ACCOUNTING DEPARTMENT
ECONOMICS AND BUSINESS FACULTY
UNIVERSITY OF SINGAPERBANGSA KARAWANG

1
 2018

Researcher
Ozge Akinci (2013)
(Year)

Global Financial Conditions, Country Spreads and

Title
Macroeconomic Fluctuations in Emerging Countries

Research
Vector Autoregressive (VAR)
Metodology
1. Independent Variable: Global Financial Conditions, Country
Research
Spreads and Macroeconomic Fluctuations
Variable
2. Depedent Variable: Emerging Countries
1. Global financial risk shocks explain about 20 percent of
movements both in the country spread and in the aggregate
activity in emerging economies.
2. The contribution of global risk-free interest rate shocks to
macroeconomic fluctuations in emerging economies is
Research
negligible. Its role, which was emphasized in the literature, is
Result taken up by global financial risk shocks.
3. Country spread shocks explain about 15 percent of the
business cycles in emerging economies.
4. Interdependence between economic activity and the country
spread is a key mechanism through which global financial
shocks are transmitted to emerging economies.