01476nam a22001097a 4500008004100000100005100041245004700092260003700139300003200176520112100208773003701329230915b           ||||| |||| 00| 0 eng d  aMitchener, Kris James and Trebesch, Christoph   aSovereign debt in the twenty-first century  aJournal of Economic Literature    a61(2), Jun, 2023: p.565-623  aHow will sovereign debt markets evolve in the twenty-first century? We survey how the literature has responded to the eurozone debt crisis, placing "lessons learned" in historical perspective. The crisis featured: (i) the return of debt problems to advanced economies, (ii) a bank-sovereign "doom loop" and the propagation of sovereign risk to households and firms, (iii) rollover problems and self-fulfilling crisis dynamics, (iv) severe debt distress without outright sovereign defaults, (v) large-scale sovereign bailouts from abroad, and (vi) creditor threats to litigate and hold out in a debt restructuring. Many of these characteristics were already present in historical debt crises and are likely to remain relevant in the future. Looking forward, our survey points to a growing role of sovereign bank linkages, legal risks, domestic debt and default, and of official creditors, due to new lenders such as China as well as the increasing dominance of central banks in global debt markets. Questions of debt sustainability and default will remain acute in both developing and advanced economies.- Reproduced   aJournal of Economic Literature