Showing 1 - 10 of 816
We analyse the impact of standard and non-standard monetary policy measures on bank profitability. For empirical … profitability are asymmetrically affected by accommodative monetary conditions, with a positive impact on loan loss provisions and … banks benefit more from monetary policy easing, banks engaging more extensively in maturity transformation experience a …
Persistent link: https://www.econbiz.de/10012945753
In a model with costly financial intermediation and financial disturbances, credit subsidies are desirable, irrespective of how they are financed. They are especially useful when the zero lower bound constraint is reached. They are superior to other credit policies such as direct lending.
Persistent link: https://www.econbiz.de/10011605922
on banks’ internal ratings on loans to businesses over the period 1997 to 2011 from the Federal Reserve’s survey of terms … of business lending. We find that ex-ante risk taking by banks (measured by the risk rating of new loans) is negatively … with the nationwide business cycle, and less pronounced for banks with relatively low capital or during periods of …
Persistent link: https://www.econbiz.de/10011605948
How a historic drop in bank deposits shapes banks' loan supply? We exploit the effects of a large, and unexpected … includes all bank-firm lending relationships in all euro area countries. We find that banks experiencing large deposit outflows … is stronger for fixed rate and longer maturity loans, but not for riskier borrowers. The effect is mostly driven by banks …
Persistent link: https://www.econbiz.de/10014543622
We study how monetary policy and risk shocks affect asset prices in the US, the euro area, and Japan, differentiating between "traditional" monetary policy and communication events, each decomposed into "pure" and information shocks. Communication shocks from the US spill over to risk in the...
Persistent link: https://www.econbiz.de/10014543667
This survey reviews the literature about the impact of climate change on the natural rate of interest (r*), an important yardstick for monetary policy. Economic and financial developments can lower r* in scenarios with increasing climate-related damages and uncertainty that reduce productivity...
Persistent link: https://www.econbiz.de/10014374331
This paper develops a small-scale DSGE model which embeds a demographic structure within a monetary policy framework. We extend the tractable, though non-monetary overlapping-generations model of Gertler (1999) and present a small synthesis model which combines the set-up of Gertler with a...
Persistent link: https://www.econbiz.de/10013135617
yield spread induced by central banks' asset purchases within an environment in which the short rate cannot move because it …
Persistent link: https://www.econbiz.de/10013137091
This paper analyses changes in short-term interest rate expectations and uncertainty during ECB Governing Council days. For this purpose, it first extends the estimation of risk-neutral probability density functions up to tick frequency. In particular, the non-parametric estimator of these...
Persistent link: https://www.econbiz.de/10013119936
-through heterogeneity is estimated using an error correction framework, which captures banks' funding constraints and balance sheet … that a recovery in banks' funding capacities is an important element in reducing fragmentation in the transmission of …
Persistent link: https://www.econbiz.de/10013014957