Zavacka, VeronikaIacovone, Leonardo2012-03-192012-03-192009-08https://hdl.handle.net/10986/4213This paper analyzes the impact of banking crises on manufacturing exports exploiting the fact that sectors differ in their needs for external financing. Relying on data from 23 banking crises episodes involving both developed and developing countries during the period 1980-2000 the authors separate the impact of banking crises on export growth from that of other exogenous shocks (i.e. demand shocks). Their findings show that during a crisis the export of sectors more dependent on external finance grow significantly less than other sectors. However, this result holds only for sectors depending more heavily on banking finance as opposed to inter-firm finance. Furthermore, sectors characterized by higher degree of assets tangibility appear to be more resilient in the face of a banking crisis. The effect of the banking crises on exports is robust and additional to external demand shocks. The effect of the latter is independent and additional to that of a banking shock, and is particularly significant for sectors producing durable goods.CC BY 3.0 IGOACCESS TO FINANCEADVERSE DEMANDADVERSE EFFECTADVERSE IMPACTADVERSE SELECTIONALLOCATION OF CAPITALALTERNATIVE SOURCES OF FINANCEBALANCE SHEETBALANCE SHEET EFFECTSBALANCE SHEETSBANK BRANCHBANKING CRISESBANKING CRISISBANKING SECTORBANKING SYSTEMBENCHMARKBIASESBOOK VALUEBOOK VALUESBUSINESS CYCLECAPITAL EXPENDITURESCAPITAL INTENSITYCASH FLOWCENTRAL BANKCHECKSCOLLATERALCOLLATERALSCOMPARATIVE ADVANTAGECOMPETITIVENESSCOST OF ENTRYCREDIT CONSTRAINTSCREDIT CRUNCHCREDIT MARKETSCREDIT PROVIDERSCREDIT PROVISIONCRISIS COUNTRIESCURRENCYCURRENCY CRISESCURRENCY CRISISDATA AVAILABILITYDEBT RELIEFDEPENDENCE ON TRADE CREDITDEPOSITORDEREGULATIONDEVALUATIONDEVALUATIONSDEVELOPING COUNTRIESDEVELOPMENT BANKDEVELOPMENT ECONOMICSDIVERSIFICATIONDOMESTIC BANKINGDUMMY VARIABLEDURABLEDURABLE GOODSDURABLESECONOMIC CRISISECONOMIC DEVELOPMENTECONOMIC DOWNTURNSECONOMIC GROWTHECONOMIC OUTLOOKECONOMIC RESEARCHEMERGING MARKETSENDOWMENTSEQUIPMENTEQUITY MARKETEXCHANGE RATEEXCHANGE RATE INSTABILITYEXCLUSIONEXCLUSIONSEXPENDITURESEXPORT GROWTHEXPORT MARKETSEXPORT PERFORMANCEEXPORTEREXPORTERSEXPORTSEXPOSUREEXTERNAL FINANCEEXTERNAL FINANCINGEXTERNAL FUNDSFINANCIAL ASSETSFINANCIAL CONSTRAINTSFINANCIAL CRISESFINANCIAL CRISISFINANCIAL DEVELOPMENTFINANCIAL DISTRESSFINANCIAL FACTORSFINANCIAL INSTITUTIONSFINANCIAL INTERMEDIARIESFINANCIAL INTERMEDIARYFINANCIAL INTERMEDIATIONFINANCIAL MARKETSFINANCIAL MEASURESFINANCIAL NEEDSFINANCIAL RESOURCESFINANCIAL SECTORFINANCIAL SUPPORTFINANCIAL SYSTEMFINANCIAL SYSTEMSFIXED COSTFIXED COSTSFOREIGN BANKSFOREIGN DEBTFOREIGN LOANSFOREIGN MARKETFOREIGN MARKETSFUTURE RESEARCHGDPGDP PER CAPITAGROWTH RATEGROWTH RATESGUARANTEE SCHEMESHUMAN CAPITALINCOMEINCOME LEVELSINTANGIBLEINTERNAL FUNDSINTERNATIONAL BANKINTERNATIONAL BANKSINTERNATIONAL ECONOMICSINTERNATIONAL TRADEINVENTORIESLEGAL ENVIRONMENTLENDERSLIBERALIZATIONSLIQUIDITYLIQUIDITY PROBLEMSLONG TERM FINANCINGLONG-TERM INVESTMENTSMACROECONOMIC SHOCKSMARKET VALUEMONETARY FUNDMORAL HAZARDNATIONAL BANK OF BELGIUMNATURAL RESOURCESNON-PERFORMING LOANSOUTPUTPER CAPITA INCOMEPHYSICAL CAPITALPORTFOLIOSPRIVATE BORROWERSPRIVATE CREDITREAL GDPREAL INCOMERECESSIONRECESSIONSSIDE EFFECTSSOLVENCYSOVEREIGN DEFAULTSSUNK COSTSSUPPLY OF FINANCINGSUPPLY SHOCKSTANGIBLE ASSETSTRADE CREDITTRADE FINANCETRADE FLOWSTRADINGUSE OF COLLATERALVOLATILITYWORKING CAPITALWORLD ECONOMYMicrodata SetWorld Bank10.1596/1813-9450-5016