000			02550nam a22002057a 4500
999			_c2993 _d2993
005			20220715171256.0
008			220715b ||||| |||| 00| 0 eng d
020			_a9783030457877
082			_a658.155 _bGAI
100			_aGaillard, Norbert _96866
245			_aCountry risk: the bane of foreign investors
260			_bSpringer _aSwitzerland _c2020
300			_axiv, 259 p.
365			_aEUR _b99.99
520			_aAbout this book With the growth of international trade and the advent of financial globalization in the 1970s and 1980s, country risk has become a key notion for economists, financiers, and investors. I define this notion as “any macroeconomic, microeconomic, financial, social, political, institutional, judiciary, climatic, technological, or sanitary risk that affects (or could affect) an investor in a foreign country. Damages may materialize in several ways: financial losses; threat to the safety of the investing company’s employees, clients, or consumers; reputational damage; or loss of a market or supply source.” Chapter 1 introduces the key concepts. Chapter 2 investigates how country risk has evolved and manifested since the advent of the Pax Britannica in 1816. It describes the international political and economic environment and identifies the main obstacles to foreign investment. Chapter 3 documents the numerous forms that country risk may take and provides illustrations of them. Seven broad components of country risk are scrutinized in turn: international political risks; domestic political and institutional risks; jurisdiction risks; macroeconomic risks; microeconomic risks; sanitary, health, industrial, and environmental risks; and natural and climate risks. Chapter 4 focuses on sovereign risk. It presents the rating methodologies used by four raters; next, it measures and compares their performance (i.e., their ability to forecast sovereign defaults). Chapter 5 studies the risks likely to affect exporters, importers, foreign creditors of corporate entities, foreign shareholders, and foreign direct investors. It presents the rating methodologies used by seven raters and measures their track records in terms of anticipating eight types of shocks that reflect the main components of country risk analyzed in Chapter 3. This book will be most relevant to graduate students in economics as well as professional economists and international investors.
650			_aFinancial risk _97552
650			_aInvestments, Foreign _97553
650			_aMicroeconomics _9725
942			_2ddc _cBK