The current financial crisis has sparked intense debate about how weak banks should be resolved. Despite international …

We document that trust in public institutions—and particularly trust in banks, business and government—has declined … the most suffered the biggest loss in confidence in institutions, particularly in trust in government and the financial …

We examine to what extent banks’ stock market values during the 2007-2012 financial crisis were driven by increases in … the default risk of banks designated as globally systemically important by the Financial Stability Board. We find that … bank market values hardly respond to changes in the default risk of individual systemic banks. Together, however, changes …

This paper seeks to understand the interplay between banks, bank regulation, sovereign default risk and central bank … guarantees in a monetary union. I assume that banks can use sovereign bonds for repurchase agreements with a common central bank …, and that their sovereign partially backs up any losses, should the banks not be able to repurchase the bonds. I argue that …

public finances. Regimes for restructuring and restoring banks financed by bank levies and fiscal backstops seek to reduce … tax exemptions. Second, the bulk of the payments were contributed by large commercial banks and the head institutes of … savings banks and credit unions. Third, the levy had no effect on the volume of loans or interest rates for the average German …

to the large net capital inflows into the US from China and other emerging economies. Our results suggest a long shadow … of deregulation: in states that opened their banking markets to out-of-state banks earlier, house prices were more … sensitive to capital inflows. We provide evidence that global imbalances were a major positive funding shock for US wide banks …

. There are two main results: First, if all banks have enough liquidity so that they can honor their short-term obligations, a … banks, a financial transactions tax contributes to financial distress and undoes other policy measures that are used to …

This paper analyzes the effect of the removal of government guarantees on bank risk taking. We exploit the removal of …

banks play complex, long horizon games and face more than one tradeoff. We account for these issues in a simple infinite … bankruptcy. We term these factors discipline and stability effects, respectively. The central bank’s welfare decreases with … central banks cannot attain both low inflation and financial stability. …