The primary driver of commercial bank failures during the Great Recession was exposure to the real estate sector, not …

-à-vis the central bank and the interbank market. The results show that the Italian interbank market functioned well even during …

-à-vis the central bank and the interbank market. The results show that the Italian interbank market functioned well even during …

Markets Programme (SMP). Using detailed security holdings data at the bank level, we show that banks exposed to this …

This paper studies the impact of cyclical systemic risk on future bank profitability for a large representative panel … risk predict large drops in the average bank-level return on assets (ROA) with a lead time of 3-5 years. Based on quantile … local projections we further show that the negative impact of cyclical systemic risk on the left tail of the future bank …

Loan guarantees represent a form of government intervention to support bank lending. However, their use raises concerns … as to their effect on bank risk-taking incentives. In a model of •nancial fragility that incorporates bank capital and a … bank incentive problem, we show that loan guarantees reduce depositor runs and improve bank underwriting standards, except …

shock caused by a large-bank failure in conjunction with detailed data on interbank exposures. First, we find robust … evidence that higher interbank exposure to the failed bank leads to large deposit withdrawals. Second, the magnitude of …