fixed income unless the value of the bank’s assets falls below a predetermined threshold. In such an event, the debt … obligation is automatically converted to the bank’s common equities. By using a contingent claims valuation approach we present … bank that includes DES or alternatively subordinated debt in its capital structure. We compare and evaluate quantitatively …

This article develops a model of bank runs and crises and analyses how the presence of a lender of last resort (LOLR …

Territorial appointees to an independent central bank (e.g. District Federal Reserve Banks’ presidents, Governors of … loyalties and allegiances - to the home regional territory to which they owe the appointment and to the central bank to which …, cultural factors, and other determinants. Local preferences may conflict with the central bank’s mandated objectives, its …

commitment outweigh welfare costs of central bank's inaction. Second, we solve for the optimal frequency of policy adjustment and …

central bank discloses information that is related to the policymaking process. The behavioural measure reflects the clarity …