. Second, a "macro" reform that removes restrictions on banks' reserves and credit controls. While this reform increases …" - this makes banks offset the rise in the default rate with a higher spread between loans and deposit rates. Thus our model …

policy debate after the global financial crisis. We estimate a panel VAR for 21 advanced economies based on quarterly data …

This paper investigates whether European banks have capital targets and how deviations from the target impact their … equity composition and activity mix. Using quarterly data for a sample of large European banks between 2004 and 2011, we show … that there are notable asymmetries in banks' reactions to deviations from optimal capital levels. Banks prefer to reshuffle …

We show that negative policy rates affect the supply of bank credit in a novel way. Banks are reluctant to pass on … low-deposit banks. As a consequence, the introduction of negative policy rates by the European Central Bank in mid-2014 … negative rates to depositors, which increases the funding cost of high-deposit banks, and reduces their net worth, relative to …

Central Bank’s policy-rate cuts in mid-2014. The pass-through of the rate cuts to banks’ funding costs differs across the euro …This paper studies how banks’ balance sheets and funding costs interact in the transmission of monetary-policy rates to … banks’ credit supply to firms. To do so, we use credit registry data from Germany and Portugal together with the European …

policy period, change in banks’ competitive behaviour affected the bank lending channel and discouraged banks from taking … in the euro area banking sector. Specifically, it analyses the effect that negative policy rates had on euro area banks …’ market power in comparison to banks that have not been subject to negative rates. The analysis, considering a sample of 4 …

how the transmission depends on bank balance sheets, and how this changes once policy rates become negative. We review the … growing evidence that negative policy rates are special because the pass-through to banks’ retail deposit rates is hindered by … a zero lower bound. We summarize existing work on the impact of negative rates on banks’ lending and securities …