combined with the theory of optimum currency areas. It shows how since the turn of the millennium a too expansionary monetary …

This paper offers an encompassing analysis of the ECB's collateral criteria between 2001 and 2013. A comprehensive … database of changes to collateral criteria is compiled and structured by asset classes. The main findings can be summarized in … three stylized facts: (1) Since the outbreak of the financial crisis, the ECB has been six times more active in collateral …

This paper studies the effect of central bank collateral policy on bank credit supply and the real economy. In 2007 …, the European Central Bank replaced national collateral lists with a single list valid across the euro area. Banks holding …

Should central banks lend against low quality collateral? We characterize efficient central bank collateral policy in a … model where a bank borrows from the interbank market or the central bank. Collateral has favorable incentive effects but is … costly to transfer to lenders who value the collateral less because of imperfect collateral quality. We show that a fall in …

shock. However, its efficacy is dampened by a reverse bank lending channel that weakens the interest rate channel of QE … shock. Furthermore, we show that a shock in the form of a deposit shift between the two countries, interpreted as capital …