We study how the risks to future liquidity flow across corporate bond, Treasury, and stock markets. We document … distribution “flight-to-safety” effects: a deterioration in the liquidity of high-yield corporate bonds forecasts an increase in … the average liquidity of Treasury securities and a decrease in uncertainty about the liquidity of investment …

that of Japan in the 1990s. Then a weak economy with risk-averse banks seemed to require some of the largest peacetime …

approach and have focused on the QE-experience, on which substantial data is available, namely that of Japan (2001 … policy goal of monetary policy. The empirical research finds that the policy conducted by the Bank of Japan between 2001 and …

We find that banks subject to the Liquidity Coverage Ratio (LCR) create less liquidity per dollar of assets in the post …-off between lower liquidity creation and greater resilience from liquidity regulations …

responsibilities. In April 2020, the Federal Reserve announced the establishment of the Municipal Liquidity Facility (MLF) to help …

In August of 2007, banks faced a freeze in funding liquidity from the asset-backed commercial paper (ABCP) market. We … investigate how banks scrambled for liquidity in response to this freeze and its implications for corporate borrowing. Commercial …

crisis is often attributed to corporate bond dealers' failure to provide liquidity. We investigate this common perception … using unique data on dealers' trading. We show that corporate bond dealers provided liquidity in response to major selling … activity by clients when the CDS-bond basis widened. Although providing liquidity, dealers did not trade aggressively enough to …

We estimate the option value of municipal liquidity by studying bond market activity and public sector hiring decisions … eligibility population cutoffs introduced by the federal sector’s Municipal Liquidity Facility (MLF) to study the effects of an … emergency liquidity option on yields, primary debt issuance, and public sector employment. We find that while the announcement …

March 2009. Similar policies had been previously implemented in Japan, the U.S. and the Eurozone. The effectiveness is …

We investigate the transmission of central bank liquidity to bank deposits and loan spreads in Europe over the January … liquidity does not translate into lower loan spreads for high-risk banks, even as it lowers deposit rates for both high-risk and …