Many assets derive their value not only from future cash flows but also from their ability to serve as collateral. In … this paper, we investigate this collateral value and its impact on asset returns in an infinite-horizon general equilibrium … model with heterogeneous agents facing collateral constraints for borrowing. We document that borrowing against collateral …

their demand for collateral assets, and the short-term scarcity of collateral securities leads to higher prices, the Fire … Buy premium. To avoid collateral scarcity, central banks increase the set of eligible collateral assets. However, if the … investigate how unlimited liquidity provision affects collateral prices. Also, I match banks' trades with their balance sheet and …

We study the preferential treatment of green bonds in the central bank collateral framework as an environmental policy … firms issue defaultable corporate bonds to banks that use them as collateral. The collateral premium associated to a … relaxation in collateral policy induces firms to increase bond issuance, investment, leverage, and default risk. Collateral …

firm level? We exploit that, in 2007, the European Central Bank replaced national collateral frameworks by a single list …. This collateral framework shock added loans to non-domestic euro area firms to the pool of eligible assets. Using loan … extended to (previously eligible) domestic borrowers, suggesting only a limited cross-border effect of the collateral framework …

their collateral supply is determined by their ex ante securities holdings and repo rates. Second, it makes use of the …

study the intended and unintended consequences of asset purchases in the repo market with Bund collateral. Bunds that are …