In this paper we relate a bank's choice between retail and wholesale liabilities to real economic uncertainty and the … resulting volatility of bank loan volumes. We argue that since the volume of retail deposits is slow and costly to adjust to … shocks in the volume of bank assets, banks facing more intense uncertainty and more volatile loan demand tend to employ more …

probable links with the largest exposures consistent with the total lending and borrowing of each bank, leading to networks …

network connections of the banks. The latter are in our application observed interbank exposures among German bank holding …-many-to-fail mechanics such that bank distress is less likely if many peers already experienced distress. …

interbank lending. The rules, which combine individual bank characteristics and interconnectivity measures of interbank lending …