In small state economics, it is argued that small open economies are more volatile and more responsive to international shocks. However, small states also have a more flexible, faster and better capacity to adapt. In a case study on the financial crisis 2008/09, the following questions are to be statistically examined using multiple regression models (global data sample: 226 states/independent territories): Did the vulnerability or adaptability of small states outweigh the vulnerability or adaptability of large states? Were smaller states actually affected more severely and perhaps even earlier? How strong/long was the global impact of the financial crisis shock? Which countries were particularly affected? Did the size of the state play a role and which other factors (geographical, economic, political) were relevant?
Project duration: since 2015