Thursday, 17 October 2013

why is there no contingent debt today?

(except by defaulting countries like Greece and Argentina). If you want to find out, you can do worse than read:
Drelichman, Mauricio and Hans-Joachim Voth, "Contingent Sovereign Debt Contracts: The Historical Perspective", CESifo DICE Report 

Punchline: Philip II managed to do it - so why can't modern-day treasury departments and investment banks do what Genoese financiers and courtiers in tights got done to perfection?

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