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UChicago Economics

@uchi_economics

The Kenneth C. Griffin Department of Economics at the University of Chicago. RT/follow ≠ endorsement.

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linkhttps://linktr.ee/uchi_economics calendar_today18-04-2016 18:13:34

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@uchi_economics

2 years ago

Zhiyu Fu’s (Zhiyu Fu, fuzhiyu.me) JMP links currency risk to capital flows. He shows foreign flows are “flighty”: they tend to withdraw upon negative news, and a country's currency is risky if its external liabilities face flightier flows than external assets.

Zhiyu Fu’s (<a href="/zhiyufu_econ/">Zhiyu Fu</a>, fuzhiyu.me) JMP links currency risk to capital flows. He shows foreign flows are “flighty”: they tend to withdraw upon negative news, and a country's currency is risky if its external liabilities face flightier flows than external assets.