Fecht, Falko; Grüner, Hans Peter; Hartmann, Philipp - Deutsche Bundesbank <Frankfurt, Main> / … - 2008
This paper studies the implications of cross-border financial integration for financialstability when banks’ loan portfolios adjust endogenously. Banks can be subjectto sectoral and aggregate domestic shocks. After integration they can share theserisks in a complete interbank market. When...
