The Economic and Financial Crisis from the Eye of the Storm

The recent financial and economic crisis starting in 2007/08 has underscored the frailty of the financial system. Economists have long stressed that uncertainty, asymmetric information, adverse incentives, and strategic behavior can become key drivers of the transmission of shocks through the financial system which eventually spreads into the real sector. Rebuilding the financial system and re-designing financial regulation pose important challenges for the future. Innovative research on the current economic and financial crisis and the lessons that it can teach about the global financial system and regulatory environment will be considered for inclusion in this special issue.
Potential paper topics include papers on

• Uncertainty and strategic behavior as contagion mechanism; 
• Innovations in financial instruments and their welfare effects; 
• Funding and market liquidity:
• Risk management and regulation; 
• Transparency and market discipline;
• Measurement of systemic risk; 
• Regulation of the “shadow banking system” of non-bank financial institutions;
• Domestic and international problems of existing resolution regimes for systemic risks, 

The Editors of the Special Issue have intentionally kept the list of suggested topics short so as to stimulate creativity and encourage prospective authors to adopt a variety of perspectives when approaching this subject. The Special Issue will include a state-of-the art collection of papers relating what we can learn about impact of the crisis.

In keeping with the GEJ's tradition, empirical research and theoretical work with direct empirical applications are particularly encouraged.

Deadline:
Submissions should be sent no later than December 15, 2010.

All articles will be submitted to a process of peer evaluation, in accordance with the editorial policy of GEJ. For questions regarding this special issue, authors are invited to contact the editors: jpelz@gwu.edu and/or amir1s@colman.ac.il.  Submissions for this issue should be submitted electronically to GEJ here. Please indicate that the submission is for this special issue

Guest Editors:
Joseph Pelzman
Department of Economics
George Washington University
Washington, DC 20052
jpelz@gwu.edu

and

Amir Shoham
Department of Business Administration
College of Management
Rishon L’Tzion, ISRAEL
amir1s@colman.ac.il