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This paper investigates the impending political determinants of banking crisis in advanced economies. In particular, we consider the impact of domestic credit growth on the likelihood of banking crisis and analyse possible constraints on the part of the governments in curbing the unsustainable credit growth. The endogeneity corrected results reveal that the household credit growth has greater impact on the likelihood of banking crisis than the enterprise credit growth. The political channel shows that if governments are concerned about domestic approval rates, then there is a higher chance of credit boom, which in turn increases the prospect of banking crisis. Interestingly, the findings reveal that the presence of an independent and well-functioning central bank mitigates the crisis probability and reduces the opportunistic behaviour of governments.

Bulgarian Abstract: Целта на тази статия е да се проучат алтернативите за излизане от кризата във всяко предприятие, за да се запази жизнеспособността му. Разгледани са различни подходи в специализираната литература в областта на мениджмънта. Изследвани са правните аспекти на тези алтернативи и добрите международни практики в тази област. Изследван и систематизиран е достатъчен брой литературни източници, описващи теорията и практиката на организационните кризи. Резултатите ще помогнат на управлението на бизнеса да направи правилния избор за преодоляване на кризата. English Abstract: The purpose of this article is to investigate the alternatives for getting out of the crisis in each enterprise to maintain its viability. Different approaches in the specialized literature in the field of management are explored. The legal aspects of these alternatives and good international practices in the field have been explored. A sufficient number of literature sources describing the theory and practice of organizational crises have been studied and systematized. The results will help business management to make the right choice to overcome the crisis.

This paper examines the evolution of capacity utilization for Kazakhstani enterprises over a 7 year period. Three main theoretical propositions are tested through panel data regressions. The results show that the Russian financial crisis (August 1998) substantially reduced capacity utilization throughout 1999 and that only from 2000 onwards did enterprises recover from the crisis. Moreover, the Russian financial crisis led to a permanent change in enterprises’ behavior, in that only after the crisis enterprises became responsive to market signals. Finally, we also find evidence of a differential impact of the Russian financial crisis for different enterprise characteristics, including ownership, size, sector and location.