Sovereign Debt Crisis in Sri Lanka and Bangladesh: A Comparative Study

Using IMF's World Economic Outlook (WEO) data for the macroeconomic variables, this study comparatively examines the sovereign debt crises in Sri Lanka and Bangladesh. It identifies different macroeconomic factors related to the sovereign debt crisis, investigates their interrelations, and explores if their debt crises are similar. It shows that the general revenue to Gross Domestic Product (GDP) ratios of Sri Lanka degraded to converge with the upgrading status of Bangladesh during the Covid-19 period. Since 2010, Sri Lanka has maintained a well-off economic status with per capita GDP, while Bangladesh has a long way to go yet. The general expenses to GDP ratio of Sri Lanka shows stresses on its GDP, while that of Bangladesh is more relaxed. Sri Lanka has overstressed debt to GDP ratio along with Balance of Payments (BOP) deficits, while Bangladesh has continued traces of managed debt to GDP ratio along with BOP surpluses. Bangladesh has taken enough precautions in their sovereign debt management, compared to Sri Lanka. Even in 2020, Bangladesh maintained progressive investment track over the threshold limit of 30%, while Sri Lanka fell into a debt trap. Following the pandemic, Bangladesh has enjoyed a gross national savings to GDP ratio of above the threshold of 25%, while Sri Lanka is going through a critical phase. It shows governance myopia of Bangladesh regarding its imbalanced current account positions, while governance myopia of Sri Lanka exists with reference to its imbalanced current account positions, adverse gross debts, and government borrowing as well.

A very British state capitalism: Variegation, political connections and bailouts during the COVID-19 crisis.

The COVID-19 pandemic has resulted in governments playing increasingly prominent roles as active economic agents. However, state capitalism does not necessarily serve broad developmental purposes, and rather can be directed to supporting sectional and private interests. As the literature on variegated capitalism alerts us, governments and other actors regularly devise fixes in response to a systemic crisis, but the focus, scale, and scope of the interventions vary considerably, according to the constellation of interests. Rapid progress with vaccines notwithstanding, the UK government's response to COVID-19 has been associated with much controversy, not only because of an extraordinarily high death rate, but also because of allegations of cronyism around the granting of government contracts and bailouts. We focus on the latter, investigating more closely who got bailed out. We find that badly affected sectors (e.g. hospitality, transportation) and larger employers were more likely to get bailouts. However, the latter also favored the politically influential and those who had run up debt profligately. Although, as with state capitalism, crony capitalism is most often associated with emerging markets, we conclude that the two have coalesced into a peculiarly British variety, but one that has some common features with other major liberal markets. This might suggest that the eco-systemic dominance of the latter is coming to an end, or, at the least, that this model is drifting towards one that assumes many of the features commonly associated with developing nations.

A research agenda for regional and local government

I A Research Agenda for Regional and Local Government i by Mark Callanan and John Loughlin is a forward-looking edited collection which attempts to construct and justify exploratory scholarship on regional and local government (Callanan & Loughlin, [1]). This is clearly linked to the cohering theme of the financial crisis, as, The League, as an example by the authors, did not lead any regional government prior to the crisis, and now commands governance of four Italian regions. As such, this typology is pioneering and future scholarship on this area is welcomed, particularly amidst the COVID-19 crisis and its potential reconfiguration of decentralization and regional authority following the financial crisis. Explicitly focusing on the financial crisis, the authors comparatively analyse similarities and differences of the EU's impact on regional and local governance surrounding the crisis. [Extracted from the article]

Eurobonds versus Coronabonds: Same Idea, New Context, Different Outcome?

Since the outbreak of the SARS-CoV-2 pandemic, the European Union has taken tentative steps toward the issuance of joint debt. This progress is significant but puzzling: the technical value of such instruments has never been in doubt;however, the political will to move forward has always been lacking. What changed? This short article argues that contemporary political economy research points us toward the role of ideas and identity in explaining this shift.

Benchmarking the assessment of barriers to the admission of management education in India during the COVID-19 pandemic

Purpose>This paper proposes a decision-making framework for assessing various dimensions and barriers that have affected the admission process in management educational institutions during the ongoing pandemic. The framework considers the interrelationship between the obstacles and highlights the importance of each barrier.Design/methodology/approach>An integrated method based on decision-making trial and evaluation laboratory and analytical network process is proposed to structure the barrier assessment framework. Results obtained from the study are validated by comparing them against the conventional analytical hierarchy process.Findings>The results obtained from this study indicate four significant dimensions that hinder admission in Indian management institutes, namely, governmental, financial, sectoral, institutional and market. The top five barriers are demand shift towards technical (alternative) skills, acceptance of the graduated students, lack of industry–institute collaboration, lack of long-term vision and opening new Indian Institute of Technologies (IITs) and Indian Institute of Managements (IIMs).Research limitations/implications>During this ongoing pandemic, many educational institutes have been forced to shift from the traditional classroom to a virtual teaching model. In this regard, this study helps identify and assess the barriers to admission in Indian management institutes during this epidemic and thus, contribute to the literature. The findings will assist all stakeholders and policymakers of management institutions design and develop appropriate managerial strategies. The study is conducted in the Indian management educational institute context and can be extended to technical education institutions for deeper insights.Originality/value>The paper develops an assessment framework for analysing the barriers to admission in Indian management institutes during the ongoing COVID-19 pandemic. Research implications are discussed in the context of a developing country.

Addressing the Next State Fiscal Crisis: Toward an Ex Ante Scheme of Federal Assistance to States in Fiscal Distress

The Brookings Institute projects that state and local revenues will decline $155 billion in 2020 (5.5%), $167 billion in 2021 (5.7%), and $145 billion in 2022 (4.7%).4 Dwindling revenues are insufficient to cover mounting costs, and budget shortfalls are mounting.5 The looming state economic crisis has spurred a debate about the proper federal response.6 One position, often represented by governors or Congressional Democrats, advocates for massive federal aid to distressed states.7 In talks regarding the second COVID-19 stimulus, for example, Democrats pushed for more than $900 billion in federal aid to states, reasoning that states are unable to cope independently with their financial troubles.8 Without federal funds, argue the proponents of federal assistance, states may collapse, bringing the nation's economy with them.9 The other position, often represented by congressional Republicans, objects to using federal funds for state bailouts.10 According to this view, states should handle their own finances, and federal funds should not be handed out to poorly-managed ("blue") states.11 In lieu of federal aid, a state bankruptcy solution is offered.12 Bankruptcy law, it is argued, can reduce the states' debt overhang and spread their losses among their creditors, obviating the need for federal funds.13 But both of the suggested federal responses, bankruptcy law and ex post federal aid, seem problematic. [...]states don't have the resources to finance their rising costs, and a state economic crisis develops. [...]opposite to the directives of standard economic theory, in times of recession states cut spending and investments, and these measures damage not only the distressed states, but also the national economy. [...]as emphasized by opponents of federal bailouts, federal aid creates moral hazard problems. if states know that the federal government will provide financial assistance when they fall on hard times, they have little motivation to save or follow prudent financial policies.17 Second, and no less importantly, the Article shows that because federal aid is provided through a political process, it is dispensed according to politicians' personal interests and not necessarily pursuant to the beneficiaries' financial needs.

Can Government Direct Bailout Intervention Relieve the Crisis Sentiment in the Context of the COVID-19 Pandemic

It has been increasingly common for the government to adopt non-market approaches to manage or interfere with the market during a stock market crisis. Taking Chinese government’s bailout of the market during the COVID-19 epidemic as the research object, this paper examines the impact of Chinese government’s direct bailout intervention on investors’ crisis psychology. The findings are as follows: (1) The government “buy-in” bailout effectively smooths investors’ crisis sentiment;(2) There is a downside of the government “buy-in” bailout, which compromises the market pricing effect and aggravates the herding effect;(3) For stocks not bought by the government, the government’s “verbal” intervention can relieve investors’ crisis sentiment in the short term;(4) Stocks with different characteristics are affected by the government’s “verbal” intervention to different degrees, with financial stocks and problematic stocks more susceptible to it.

Three Crisis Management Imperatives Recalibration, Recovery & Resiliency

Going forward, they must consider ways to modify their health and safety workplace models and policies, issue guidance for post-reentry personnel policies, and create a work environment that openly addresses topics such as telework and evacuation pay.2 To recalibrate effectively, it is important to understand the supporting elements of a sound crisis management strategy, detailed in Figure 2: * Trust the data. * Establish a forward-looking strategy. * Reduce damaging effects of the crisis. * Promote a culture of planning and preparedness. * Set the tone at the top. HHS leaders faced accusations of favoring wealthier hospital systems. Since the fund was designed to move money out the door quickly, the allocation scheme was based on hospitals' historic revenues, which potentially favored institutions that served patients who paid more.3 Subsequent legislation adjusted policies for this fund, and HHS made a concerted effort to transfer funds to more vulnerable communities for a broader public health recovery. Key factors in assessing recovery plans include monitoring economic rescue measures, safeguarding prosperity, promoting equity, and committing to programs that contribute to a fulfilling citizen experience.7 Many organizations could help monitor and coordinate actions at the state and local levels, such as the U.S. Conference of Mayors, the National Association of Counties and the National Conference of State Legislatures. Craig Maxwell, CGFM, is a senior associate in the risk practice at Grant Thornton Public Sector LLC, with I j over two years' A professional experience that includes CFO support services, strategic planning, grants management implementation, and enterprise risk management support to a number of federal, state, local, and non-profit clients.

Fiscal (un)sustainability of the Croatian healthcare system: additional impact of the COVID-19 crisis

The main goal of this policy paper is to provide an overview of the basic problems that have impact on healthcare in Croatia and tend to make it unsustainable. The paper points out that the COVID-19 crisis has deepened and exacerbated the already existing problems of financing the health system. The analysis shows that Croatia swept under the rug systemic problems in financing healthcare and ultimately paid the price through frequent financial bailouts. Thus, in the period from 1994-2021, a total of HRK 23.9 billion was spent on bailing out the health service. On the other hand, the COVID-19 crisis can be seen as a chance to start solving the problem and implement certain reforms, both on the revenue and expenditure side of the health system. © 2021. All Rights Reserved.

COVID-19 and bailout policy: The case of Virgin Australia.

The impact of COVID-19 on air transport is unprecedented and some well-known airline brands may disappear as a result. Governments around the world have responded swiftly to cushion the financial impact by offering direct wage subsidies, tax relief, loans, etc. This paper explores the government's appropriate responses to failing airlines' bailout request by examining the case of Virgin Australia. Following the bailout policy principles established in the literature, we suggest that bankruptcy protection should be considered as the first solution to a failing carrier. A bailout decision should be guided by a set of principles and procedures, which should not be taken lightly. Our analysis also shows that the government cannot take a hands-off approach in the absence of private lenders and investors, as the costs to consumers and regional residents would be huge if the carrier could not get through the COVID-19 pandemic. A minimum level of assistance with conditions might be needed to maintain market competition.