Abstract

The study aimed to clarify and analyze the concept of contagion of financial crises and explain the channels of transmission. The study examined the probability of transmission of financial crises contagion using the logistic multiple regression model in twelve financial markets in twelve Arab countries including Iraq. The study concluded that the probability of transmission of financial crises infection to the Iraqi market for securities 2% according to the results of the logistic multiple regression model. This shows that the financial links of the Iraqi market for securities with global financial markets weak, It also indicates that the volume of foreign investment in the market is small and does not contribute to the risk of contagion crises in the Iraq Stock Exchange (ISX). Therefore, sudden and unexpected crises should be avoided before they occur by activating early warning systems. And using alternative plans and contingency plans for such events to get to limit the effects of those crises and control their course.

Keywords

The article was added to IASJ on 2020-02-19

520 Total full text downloads since the date of addition