. Political indicators reveal bailout expectations after 2009, manifested as beliefs about the predicted probability of receiving … was lower, and loan rates were higher for banks with higher bailout expectations. The interest margins of unsupported …

This paper examines common regulation as cause of interbank contagion. Studies based on the correlation of bank assets … that banks have a common regulator. In our model, the failure of one bank can undermine the public's confidence in the … forbearance to the initially failing bank in the hope that it - and hence other vulnerable banks - survives. By contrast, public …

natural experiment to study the effects of reduced bank capital adequacy on productivity. Affected banks respond not only by …

frictions in which bank assets are a portfolio of defaultable loans. We show that ex-ante imperfect diversification of bank … lending generates bank asset returns with limited upside but significant downside risk. The asymmetric distribution of these … returns and their implications for the evolution of bank net worth are important for capturing the frequency and severity of …

We show that a reduction in lender of last resort (LOLR) policy uncertainty positively affects bank lending and … between private market and central bank security valuations - plays a key role in the propagation of the shock to lending and …

We provide evidence that the strength of the bank lending channel varies considerably across three major events in the … easing (QE). We study how lending responds to each shock using detailed bank, firm, and household data from Portugal, a … more effective than signalling events at stimulating the bank lending channel …

From the onset of the 2007-2009 crisis, the Federal Reserve and the European Central Bank have aggressively lowered … has partial control over bank regulation it can exercise regulatory lenience. Two, the Fed’s stronger output orientation …

crucial complementarities between supervision and monetary policy: centralised supervision offsets excessive bank risk …