VoxEU Video

Benefits of coordination problems among creditors

Many assume that creditor coordination problems can only be a bad thing. In this Vox Views video, Hongda Zhong discusses the benefits of coordination problems among creditors. Such problems may create incentives for firms to pay debt back to avoid being cut out of the credit market in the future. The video was recorded in April 2016 at the First Annual Spring Symposium on Financial Economics organised by CEPR and the Brevan Howard Centre at Imperial College.