Empirical Research on Sovereign Debt and Default
In this essay we review the empirical literature about sovereign debt and default. As we survey the work of economists, historians, and political scientists, we also emphasize parallel developments by theorists and recommend steps to improve the correspondence between theory and data.
This article is forthcoming at the Annual Review of Economics, doi: 10.1146/annurev-economics-061109-080443. We thank Ben Chabot for helpful conversations, Pol Antras, Gadi Barlevy and Alejandro Justiniano for comments, and Todd Messer for outstanding research assistance. Tomz thanks the National Science Foundation for support under grant SES-0548285. Wright thanks the National Science Foundation for support under grant SES-1059829. The views expressed herein are those of the authors and not necessarily those of the Federal Reserve Bank of Chicago, the Federal Reserve System, or the National Bureau of Economic Research.
Michael Tomz & Mark L.J. Wright, 2013. "Empirical Research on Sovereign Debt and Default," Annual Review of Economics, Annual Reviews, vol. 5(1), pages 247-272, 05. citation courtesy of