slide1 n.
Download
Skip this Video
Download Presentation
Bostjan Jazbec IMF Senior Advisor to the Governor Central Bank of the Republic of Kosovo

Loading in 2 Seconds...

play fullscreen
1 / 7

Bostjan Jazbec IMF Senior Advisor to the Governor Central Bank of the Republic of Kosovo - PowerPoint PPT Presentation


  • 71 Views
  • Uploaded on

Discussion on The Anatomy of Household Debt Build Up: What are the Implications for the Financial Stability in Croatia?. Bostjan Jazbec IMF Senior Advisor to the Governor Central Bank of the Republic of Kosovo Dubrovnik, 25 June, 2010. Quick Overview.

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'Bostjan Jazbec IMF Senior Advisor to the Governor Central Bank of the Republic of Kosovo' - kyoko


Download Now An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
slide1

Discussion on The Anatomy of Household Debt Build Up: What are the Implications for the Financial Stability in Croatia?

BostjanJazbec

IMF Senior Advisor to the Governor

Central Bank of the Republic of Kosovo

Dubrovnik, 25 June, 2010

quick overview
Quick Overview
  • Neatly defined goal of the paper: what are the implications for financial stability in Croatia?
  • Great literature review
  • Search for treshold of vulnerability
      • Three approaches: objective, subjective, and administrative
  • Aim: follow the changes in the distribution of household debt
problems with econometrics
Problems with econometrics?
  • Mostly solved:
      • Non-random sample of indebted households
      • Macro vs. micro
      • Quantile regression with correction for sample selection bias + Machado and Mata decomposition method
slide4
Data
  • Household Budget Survey (HSB) vs. macro data: discrepancy in debt exposure
      • How to account for that in your model?
  • Surprisingly mild rise of the proportion of indebted households from 2005 to 2008
  • Focus on different categories of loan takers instead: isn’t that a little bit too detailed? (Table 2)
understanding the paper
Understanding the paper
  • Calculating the probabilities of having debt in 2008 prior of having debt in 2005
  • What is interesting is the Machado-Mado decomposition of household debt growth!
      • Banks are relaxing standards
      • Building up the existing debt
  • What about new debt?
how i would understand it better
How I would understand it better?
  • Data on banks’s exposure
  • Further elaboration on Table 2
  • More on macro vs. micro evidence
  • 2009?
  • What is the implication for financial stability in Croatia?
ad