conditions, credit default and bank capitalization for the transmission of macroeconomic shocks. We fit the model to euro area … empirical literature, i.e. the pro-cyclicality of bank profitability and the counter-cyclical response of firm default rates and … credit spreads to monetary policy shocks …

We study the sensitivity of banks' credit supply to small and medium size enterprises (SMEs) in the UK to banks … branches in the UK, we connect firms' access to bank credit to the financial condition (i.e., bank health and the use of core … conditions did not influence credit availability irrespective of the functional distance (i.e., the distance between bank branch …

indeed been succesful in stimulating the credit flow of banks to the private sector. Second, we find support for the “bank … mechanism of the Eurosystem's credit support policies since the start of the crisis. First, we show that these policies have … effect). The role of bank capital is, however, ambiguous. Besides the above favorable direct effect on loan supply, lower …

This paper seeks to understand the interplay between banks, bank regulation, sovereign default risk and central bank … guarantees in a monetary union. I assume that banks can use sovereign bonds for repurchase agreements with a common central bank … cheaply, effectively shifting the risk of some of the potential sovereign default losses on the common central bank …

This paper presents a micro data approach to the identification of credit crunches. Using a survey among German firms … which regularly queries the firms' assessment of the current willingness of banks to extend credit we estimate the … probability of a restrictive credit supply policy by time taking into account the creditworthiness of borrowers. Creditworthiness …

Switzerland. For identification, we compare changes in the behavior of banks that had different fractions of their central bank … margins, but credit and interest rate risk increase. Portfolio rebalancing implies relatively more lending, also compared to …

We use payroll data on 1.2 million bank employee years in the Austrian, German, and Swiss banking sector to identify … document an economically significant correlation of incentive pay with both the level and volatility of bank trading income … bonus share in the capital markets divisions with the strength of incentive pay in unrelated bank divisions like retail …

This paper analyzes the effect of the removal of government guarantees on bank risk taking. We exploit the removal of … guarantees for German Landesbanken which results in lower credit ratings, higher funding costs, and a loss in franchise value …

Shocks to bank lending, risk-taking and securitization activities that are orthogonal to real economy and monetary … type of shock. Expansionary securitization shocks lead to a permanent rise in real GDP and a fall in inflation. Bank … using a model of bank risk-taking and securitization …

more willing to lend to SMEs. In this paper, we directly ask banks (the main providers of SME external finance) what …Small and medium enterprises (SMEs) are important for employment and economic activity; however, they are perceived to … foster SME lending and attention has focused on improving the institutional environment, such that the financial system is …