Similar Search Results

Enough liquidity with enough capital - and vice versa?

Gersbach, Hans; Haller, Hans; Zelzner, Sebastian - 2023

We study the interplay of capital and liquidity regulation in a general equilibrium setting by focusing on future … default coexist, and bank default is a self-fulfilling prophecy. Capital and liquidity regulation can prevent bank default and … liquidity regulation. Adding liquidity regulation to optimal capital regulation is redundant. …

Persistent link: https://www.econbiz.de/10014366762

Money creation and destruction

Faure, Salomon; Gersbach, Hans - 2016 - This version: October 2016

We study money creation and destruction in today's monetary architecture and examine the impact of monetary policy and capital regulation in a general equilibrium setting. There are two types of money created and destructed: bank deposits, when banks grant loans to firms or to other banks and...

Persistent link: https://www.econbiz.de/10011557571

Loanable funds vs money creation in banking : a benchmark result

Faure, Salomon A.; Gersbach, Hans - 2017 - This version: November 2017

We establish a benchmark result for the relationship between the loanablefunds and the money-creation approach to banking. In particular, we show that both processes yield the same allocations when there is no uncertainty and thus no bank default. In such cases, using the much simpler...

Persistent link: https://www.econbiz.de/10011760873