We study the functioning of secured and unsecured inter-bank markets in the presence of credit risk. The model … decouple across secured and unsecured markets following an adverse shock to credit risk. The scarcity of underlying collateral …

macroprudential policy is represented by a convex dependence of bank capital requirements on the quantity of uncollateralized credit …. In our model, producers are financed by both bank debt and equity, and face a mix of systematic and idiosyncratic …

signal on bank project quality, short-term wholesale financiers have lower incentives to conduct costly monitoring, and …

I study rollover risk in the wholesale funding market when intermediaries can hold liquidity ex-ante and are subject to … fire sales ex-post. I demonstrate that precautionary liquidity restores multiple equilibria in a global rollover game. An … intermediate liquidity level supports both the usual run equilibrium and an efficient equilibrium. I provide a uniqueness …

aggressive on their loan pricing practices. This suggests that securitization activity lead to laxer credit standards …. Macroeconomic factors also play a large role explaining the impact of securitization activity on bank lending standards: banks more …

stakes or institutional holdings. We investigate the effects of these bank-firm governance links on the global syndicated … credit risk after origination when they have some role in firm’s governance. This increase in interest rate spread is less … the endogeneity of the bank-firm governance link. Our findings suggest that the benefits of bank involvement in firms …

under Islamic finance. Liquidity management issues are thus discussed here, with particular reference to the euro area. JEL …