Muhammad, Omer; de Haan, Jakob; Scholtens, Bert - Volkswirtschaftliche Fakultät, … - 2014
bank and non-banks leads to persistence in excess liquidity. Moreover, we identify a structural shift in the interbank … market in June 2008. Before June 2008, low credit demand was driving the excess liquidity holdings by banks. After June 2008 …, banks’ precautionary investments in risk-free securities drive excess liquidity holdings. Monetary policy is less effective …