In this paper we present a three period setup to model central bank forward guidance in a liquidity trap. We analyze … the role of long-run and short-run price stickiness under discretion and commitment in a straightforward and intuitive way … when a commitment to hold nominal rates at zero for an extended period is optimal. We then introduce government spending …

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 examines the bank lending channel of monetary transmission in Malaysia, a country with a dual banking system … (TVAR) model is estimated to take into account possible nonlinearities in the relationship between bank lending and monetary …

use the model to look at monetary policy and show that allowing banks to sell long-term assets to the central bank after a … ; bank portfolio …

growing gap between deposits above lending and has compressed interest margins as the traditional source of bank's income …

Switzerland. For identification, we compare changes in the behavior of banks that had different fractions of their central bank …-negative deposit rates and larger deposit ratios. Higher fee and interest income successfully compensates for squeezed liability …

in local deposit and loan markets, along with bank capital requirements, lead to frictions on the pass-through to the …This paper analyzes the implications of the gradual rise in bank concentration since the 1990s for the transmission of … monetary policy. I use branch-level data on deposit and loan rates to evaluate the monetary policy pass-through conditional on …