investors. Thus, illiquidity is closely related to the design of the financial chains. Our policy conclusions emphasize crisis … prevention rather than crisis management, and the objective is to restore a 'comprehensive incentive alignment'. The toe-hold for …

The recent financial crisis has led to a major debate about fair-value accounting. Many critics have argued that fair …-value accounting, often also called mark-to-market accounting, has significantly contributed to the financial crisis or, at least … crisis using descriptive data and empirical evidence. Based on our analysis, it is unlikely that fair-value accounting added …

The recent financial crisis has led to a vigorous debate about the pros and cons of fair-value accounting (FVA). This … market (or pure FVA) in times of financial crisis, it is less clear that these problems apply to FVA as stipulated by the …