bank lending conditions and bank risk-taking. For identification, we use high-frequency reactions of bank bonds around the …. The increase in lending was not accompanied by excessive risk-taking, especially for banks with low intermediation margin …

document that the quantitative relevance of non-fundamental risk is potentially large in the euro area banking sector, as … crucial role in containing fundamental as well as non-fundamental risk. Our counterfactuals show that 1 percentage point … reduction (increase) in the ECB lending rate of its refinancing operations reduces (increases) the median of banks' default risk …

. Welfare- maximizing CBDC policy rules are effective in mitigating the risk of bank disintermediation and induce significant …