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Prof. Anusha Chari of the University of North Carolina on shocks and capital flows in emerging markets

Scientific Sense ®

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Emerging Markets

In smaller financial systems, foreign investor portfolio flores have massive impacts. So right now, you know, in the con of the russian crisis, a lot of money is actually flowing out of or emerging markets. And then when other investors see that the prices are falling, they start leaving as well. Yes, this integated bild economy, a one country's monitry policya affects everybody, right? If these fools are really big, it creates a big dislocation,. In this emerging markets, absolutely,absolutely.

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