Record Details

Impact of the Financial Crisis on the Philippine Financial Markets

Asia-Pacific Social Science Review

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Field Value
 
Title Impact of the Financial Crisis on the Philippine Financial Markets
 
Creator —
 
Subject Finance; Social Science
global financial crisis, moral hazard, subprime securitization, special purpose vehicles, Asian financial crisis, Philippine economy, mortgage-backed securities, predatory lending
 
Description Moral hazard is again at the center of the 2008 global financial crisis as it was in the 1997 Asian financial crisis. The latter was precipitated by the liberalization of financial markets that gave Asian companies and financial institutions access to foreign markets. The present crisis was triggered by speculative acquisitions of some Asian companies that led to their collapse as well as the banks that financed their ventures. It was a result of the expansion of the US housing market financed by US banks which also turned out to be speculative. In both cases, econometric models and mathematical analyses show risky lending, moral hazard that took the form of securitization, and a general lack of market self-regulation. Thus, financial liberalization, the self-regulating character of the markets and public credit rating agencies, which served as de facto regulators in the liberalized market, are now viewed with much skepticism. Keywords: global financial crisis, moral hazard, subprime securitization, special purpose vehicles, Asian financial crisis, Philippine economy, mortgage-backed securities, predatory lending
 
Publisher De La Salle University
 
Contributor —
 
Date 2009-06-19
 
Type Peer-reviewed Article
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Format application/pdf
 
Identifier http://www.philjol.info/philjol/index.php/APSSR/article/view/1064
10.3860/apssr.v9i1.1064
 
Source Asia-Pacific Social Science Review; Vol 9, No 1 (2009): Papers from the Sixth Secretary Alfonso Yuchengco Policy Conference; 75-84
 
Language en
 
Coverage Philippines; Global
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