Showing 1 - 10 of 143
Negative monetary policy rates are associated with a particular friction because the remuneration of retail deposits tends to be floored at zero. We investigate whether this friction affects banks' reactions when the policy rate is lowered to negative levels, compared to a standard rate cut in...
Persistent link: https://www.econbiz.de/10012869955
deposits tends to be floored at zero, which limits the transmission of policy rate cuts to bank funding costs. We investigate … reliance on retail deposit funding and the level of excess liquidity holdings may increase banks’ responsiveness to NIRP. We … and sheds some new light on results that associate NIRP with a contraction in bank loans, albeit in specific market …
Persistent link: https://www.econbiz.de/10013221074
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 …
Persistent link: https://www.econbiz.de/10013143635
The dynamic behaviour of the term structure of interest rates is difficult to replicate with models, and even models with a proven track record of empirical performance have underperformed since the early 2000s. On the other hand, survey expectations are accurate predictors of yields, but only...
Persistent link: https://www.econbiz.de/10011605677
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 …
Persistent link: https://www.econbiz.de/10011605242
signal on bank project quality, short-term wholesale financiers have lower incentives to conduct costly monitoring, and …
Persistent link: https://www.econbiz.de/10011605269
Persistent link: https://www.econbiz.de/10011604338
-merger financial performance. We find that, on average, bank mergers in the European Union resulted in improved return on capital. By …
Persistent link: https://www.econbiz.de/10011604444
assess the relative importance of cross-border bank spillovers as compared to domestic bank spillovers. The results suggest …
Persistent link: https://www.econbiz.de/10011604573
In this study we apply cluster analysis techniques, including a novel smoothing method, to detect some basic patterns and trends in the euro area banking sector in terms of the degree of homogeneity of countries. We find that in the period 1998-2004 the banking sectors in the euro area countries...
Persistent link: https://www.econbiz.de/10011604673