Lena Suchanek - Latest

• November 11, 2009

  The Evolution of Capital Flows to Emerging-Market Economies

  Bank of Canada Review - Winter 2009-2010 Lena Suchanek, Garima Vasishtha

  Many emerging-market economies (EMEs) have significantly improved their macroeconomic fundamentals and undergone structural reforms since the Asian crisis. These developments have enhanced the composition of capital flows to EMEs through an improved debt structure, a larger share of capital flows as foreign direct investment, and greater access to international debt markets for corporations in EMEs. Structural changes in the global financial landscape have also increased capital flows, bringing economic and financial benefits to EMEs. During the recent financial crisis, however, the opening up of capital accounts and increased financial and trade linkages left many countries vulnerable to external disruptions. Countries with sound fundamentals have weathered the crisis relatively well. Policy-makers in EMEs need to implement policies that support capital flows and ensure that controls imposed to deal with detrimental outflows during periods of stress or rapid inflows are only temporary.

  Content Type(s): Publications, Bank of Canada Review articles Topic(s): Development economics, Financial markets, Financial system regulation and policies

• Labour Shares and the Role of Capital and Labour Market Imperfections

  Staff Discussion Paper 2009-2 Lena Suchanek

  In continental Europe, labour shares in national income have exhibited considerable variation since 1970. Empirical and theoretical research suggests that the evolution of labour markets and labour market imperfections can, in part, explain this phenomenon.

  Content Type(s): Staff research, Staff discussion papers Topic(s): Economic models, Financial institutions, Labour markets JEL Code(s): C, C7, C78, E, E2, E25, J, J6, J64