---
title: Financial Crisis Cycles
url: https://www.ml-quant.com/papers/repec/cnn-wpaper-26-015e/
site: ML-Quant (https://www.ml-quant.com)
updated: 2026-10-02
license: Summaries CC BY 4.0; links go to the original sources
index: https://www.ml-quant.com/llms.txt
identifier: RePEc:cnn:wpaper:26-015e
source_url: https://econpapers.repec.org/RePEc:cnn:wpaper:26-015e
featured: 2026-10-02
citations: unknown
topic: Risk, Credit & Banking
---


# Financial Crisis Cycles

A theoretical model shows that debt accumulation during booms delays post-crash recovery through debt overhang and coordination failures, with debt restructuring conditional on recapitalization being more efficient than unconditional subsidies.

- Source: https://econpapers.repec.org/RePEc:cnn:wpaper:26-015e
- Identifier: RePEc:cnn:wpaper:26-015e
- Released: 2026-10-02
- First featured: Quant Letter No. 133 (2026-10-02): https://www.ml-quant.com/issues/2026-10-02/
- Citations (Semantic Scholar): not tracked
- Published in: not yet
- Topic: Risk, Credit & Banking
- Authors: Keiichiro Kobayashi, Tomoyuki nakajima

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