For example, the crisis has shown that even differences in regulatory regimes can trigger arbitrage-based action and dilute the efficiency of domestic policies. Take managing capital flows. Emerging market economies experienced a sudden stop in capital inflows during the crisis as well as capital outflows – the result of global deleveraging.
As is demonstrated in chapter 1.4 of the Yearbook, on fiscal issues, the provision of tax exemptions for agriculture and agricultural lending, of various kinds, has delivered few, if any, tangible benefits for farmers in this country. Any benefits accruing from these tax exemptions were mostly captured by non-farm sectors, such as importers and banks, and not passed on to farmers.