types of long-term debt securities. By investigating at the individual bank level, we are able to test explicitly a broad … country and bank-specific financial characteristics as explanatory variables. With respect to the country determinants, our … bond issuance, while for banks from the euro area periphery central bank liquidity substituted for unsecured long-term debt …

channel, one bank's capital policy affects the equity value and risk of default of other banks. In a model where such … externalities are strong, bank capital takes on the attribute of a public good, where the private equilibrium features excessive … implications of the model with observed bank behavior during the crisis of 2007-09 …