This paper tests the hypothesis of liquidity hoarding in the Italian banking system during the 2007-2011 global …¿½ interventions are ineffective because banks hoard the liquidity injected rather than channelling it on to other banks and the real … the crisis, and, contrary to widespread conjecture, the liquidity injected by the Eurosystem was intermediated among banks …

After the crisis, bank regulators are considering mitigating liquidity risk by introducing quantity limits on liquidity … and maturity mismatch. We argue that aggregate liquidity risk can be reduced with little deadweight loss by encouraging … readily observable variable correlated with systemic liquidity risk (e.g. the LIBOR-OIS spread) is above a trigger threshold …

interest rate, is tested and rejected. Such rejection is a sufficient condition for a liquidity effect, which is then estimated …. The magnitude of the effect is found to depend on the perceived degree of persistence of the liquidity shock. At the … beginning of the reserve maintenance period a liquidity drain amounting to 3 per cent of required reserves raises the Eonia by 4 …

When a bank defaults or stops trading in the interbank market, both a liquidity shortage in the market itself and … mounting trading losses should be anticipated. To gain more insight into the way a liquidity crisis spreads, we apply network … results: first, only a few banks are today pivotal in the redistribution of liquidity across the system, while banks close to …

bank liquidity, seek help within their own group and dispose of assets. As the shock spreads, borrowers who lack liquid … capital and liquidity risks amplify the crisis. When authorities intervene, unconventional monetary policies smooth the …

Interbank markets allow banks to cope with specific liquidity shocks. At the same time, they may be a channel allowing …