Hope Springs Eternal – French Bondholders and the Soviet Repudiation (1915–1919)
Kim Oosterlinck () and
John Landon-Lane ()
Review of Finance, 2006, vol. 10, issue 4, 507-535
Repudiations rarely occur due to their extreme nature. This paper provides an empirical study based on an original database: prices of a Tsarist bond traded in Paris before and after its repudiation by the Soviets. A structural VAR is used to disentangle French market shocks from repudiation specific ones. After the repudiation, we identify shocks that are related with bailouts, hopes of partial bailouts, negotiations with the Soviets and the Russian civil war. We argue that bond prices essentially reflected expected extreme events that never took place and were thus subject to a “Peso problem”. Copyright Oxford University Press Science+Business Media, LLC 2006
References: Add references at CitEc
Citations: View citations in EconPapers (8) Track citations by RSS feed
Downloads: (external link)
Access to full text is restricted to subscribers.
Journal Article: Hope springs eternal - French bondholders and the Soviet repudiation (1915-1919) (2006)
Working Paper: Hope springs eternal - French bondholders and the Soviet repudiation (1915-1919) (2006)
Working Paper: Hope springs eternal: French bondholders and the Soviet repudiation (1915-1919) (2005)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:oup:revfin:v:10:y:2006:i:4:p:507-535
Ordering information: This journal article can be ordered from
Access Statistics for this article
Review of Finance is currently edited by Josef Zechner and Marco Pagano
More articles in Review of Finance from European Finance Association Oxford University Press, Great Clarendon Street, Oxford OX2 6DP, UK. Contact information at EDIRC.
Bibliographic data for series maintained by Oxford University Press ().