Sheets
in sentence
728 examples of Sheets in a sentence
Because financial institutions held much of these securities, their market values declined as well, leaving balance
sheets
in need of restructuring, particularly given their highly leveraged capital structures.
Likewise, prior to Premier Wen Jiabao’s trip to India in 2010, China began issuing visas on loose
sheets
of paper stapled into the passports of Kashmir residents applying to enter China – an indirect challenge to India’s sovereignty.
Anyone who has studied economic performance since the onset of the financial crisis in 2008, understands that damage to balance
sheets
– such as excess debt and unfunded non-debt liabilities – can cause growth slowdowns, sudden stops, or even reversals.
And those familiar with growth in developing countries know that underinvestment in human capital, infrastructure, and the economy’s knowledge and technology base eventually produces balance
sheets
that cannot support continued growth.
An economy is a remarkably complex structure, and fathoming it depends on understanding its laws, regulations, business practices and customs, and balance sheets, among many other details.
The headwinds buffeting the US recovery – impaired household balance sheets, a depressed housing market, and government spending and employment cuts – are dissipating.
Improving household balance
sheets
imply stronger consumer sentiment.
And this concentration of public debt on banks’ balance
sheets
is what makes the entire European banking system so vulnerable to a sovereign default.
The EU also bears part of the responsibility for this outcome: the failure to clean up bank balance
sheets
prior to the fiscal consolidation was a collective mistake.
As a result, credit is tightened, balance
sheets
deteriorate (especially if companies or banks have borrowed in a foreign currency), investment contracts, and growth takes another hit.
This concern is all the more legitimate, given that bailouts have often hampered restructuring, resolution, and consolidation to preserve existing banking interests and practices, thereby delaying the necessary repair of balance
sheets
and zombifying the European banking system.
Reintroducing the national currency in order to depreciate it, but leaving the euro value of other financial instruments untouched, would destroy balance
sheets
and wreak financial havoc.
Indeed, in contrast to the United States, eurozone authorities were slow to consolidate the banking system after the global financial crisis erupted in 2008, and failed to sever the ties between sovereigns’ and banks’ balance
sheets.
To that end, many distressed companies have been forced to clean up their balance
sheets
under a new bankruptcy code that was adopted in December 2016, and more companies are likely to follow suit this year.
For example, officials, seeking to secure promotions by achieving short-term economic targets, misallocated resources; basic industries like steel and cement built up vast excess capacity; and bad loans accumulated on the balance
sheets
of banks and local governments.
Countries at the center used their central banks’ strong balance
sheets
to pump money into the system and to guarantee the liabilities of commercial banks, while governments engaged in deficit financing to stimulate the economy on an unprecedented scale.
Two of the “big three” central banks, the European Central Bank and the Bank of Japan, have lowered their policy rates into negative territory and continue to add to their balance
sheets.
Once Japan’s sovereign-debt market becomes unstable, refinancing difficulties will hit domestic financial institutions, which hold a massive volume of public debt on their balance
sheets.
Central banks have expanding balance sheets, but prices continue to fall and uncertainty rises.
With the help of crucial government support in the crisis, the US financial sector (or at least parts of it) has bounced back, while America’s real economy struggles with high unemployment, discouraged labor-force dropouts, and damaged balance
sheets.
Higher capital ratios, lower exposure to bad loans, and more transparent balance
sheets
increase the chances that the ECB’s quantitative impulses will be transmitted to the wider economy.
That is why the completion of the ECB’s comprehensive assessment of banks’ balance
sheets
and the start of Europe-wide banking supervision will help revitalize sluggish lending in the euro area.
In particular, increased clarity and transparency about banks’ balance sheets, together with a better-capitalized banking sector, will create a more supportive lending environment.
Emerging economies, meanwhile, should focus on maintaining solid balance sheets, improving their understanding of market dynamics, and safeguarding policy credibility.
A second problem with tax cuts is that they might well have only a limited impact on demand in the short run, with the private sector hoarding a significant share of the funds to repair badly over-leveraged balance
sheets.
But, six years after the start of the financial crisis, banks in many countries are still trying to repair their balance sheets, while new capital and liquidity requirements will make it more expensive for banks to finance long-term lending in the future.
In 2011, Europe’s publicly traded firms had an estimated €750 billion in cash sitting on their balance sheets, equivalent to twice the decline in private-sector investment in the EU from 2007 to 2011.
Balance
sheets
have been repaired, and many actors are awash with cash.
But, given the potential consequences for financial stability and the real economy, the size of financial institutions’ balance
sheets
relative to GDP matters greatly, quite independent of any price-level implications.
But it is quite possible that they will prove permanent, and that central banks’ balance sheets, even if they cease to increase, will remain permanently larger than they were before the crisis.
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