Assessment of Factors Causing the Sovereign Default





The aim of the study was to evaluate some of the factors, which are often thought about as causes of the sovereign default and to find out, if there are other factors influencing it. To this end, methods of analysis, comparison and deduction are used.. Analysed countries are such, with recent history of default. Using chosen methods, it was found out, that some of the factors, which are evaluated by rating agencies and international organizations, do not have influence on default likelihood. On the contrary, that probability is influenced by some other factors, which are not discussed so often.

  • Borensztein E., Panizza U. 2008. “The Cost of Sovereign Default”. Washington D.C.: IMF. Working Paper 08/238.
  • Cesnak M., Penev B. 2011. Bankroty suverénov. Bratislava: Capital Markets [accessed on 25.08.2018].
  • Eurostat. 2018. Luxemburg: European Commission. database [accessed on: 30.8.2018].
  • Huang D. 2014. „Don’t Cry for Them: Th e World’s Biggest Sovereign Defaults Since 2000“ New York: Wall Street Journal: Moneybeat. dont-cry-for-them-the-worlds-biggest-sovereign-defaults-since-2000/ [accessed on: 30.8.2018].
  • IMF. World Economic Outlook. 2018. /weo/2015/01/ weodata/index.aspx [accessed on: 28.8.2018].
  • Krugman P. R. 2009. Návrat ekonomické krize. Praha: Vyšehrad.
  • MISES, Ludwig V. 2006. Lidské jednání: Pojednání o ekonomii (Human Action). Praha: Liberální institute.
  • Moody’s Investor’s Service. 2018. „Moody’s Default Defi nition and its Application to Sovereign Debt”. [accessed on: 28.08. 2018]
  • Moody’s Investor’s Service. 2008. „Sovereign Default and Recovery Rates“. https://www.moodys. com/researchdocumentcontentpage.aspx?docid=PBC_107687 [accessed on: 28.8.2018].
  • Reinhart C.M., Rogoff K.S. 2013. Tentokrát je to jinak: Osm století fi nanční pošetilosti. Praha: Argo.
  • Rothbard M.N. 2001. Peníze v rukou státu. Praha: Liberální institut.
  • World Bank. World Development Indicators. variableselection/selectvariables.aspx?source=worldwide-governance-indicators [accessed on: 29.08. 2018].