We examine the linkages between market and funding liquidity pressures, as well as their interaction with solvency … order to test for the transmission of liquidity shocks across U.S. financial markets. It is found that the interaction … between market and funding illiquidity increases sharply during the recent period of financial turbulence, and that bank …

Central bank liquidity lines have gained momentum since the global financial crisis as a crosscurrency liquidity … management tool. We provide a complete timeline of the ECB liquidity line announcements and study their signalling and spillback … effects. The announcement of an ECB euro liquidity line decreases the premium paid by foreign agents to borrow euros in FX …

Developing a systemic liquidity stress testing tool is challenging due to data constraints and hard-to-model behavioral … factors. There has yet to be a uniformly accepted model partly because the nature of systemic liquidity risks differs … significantly across countries. This paper offers a simple Excel-based tool to assess the high-level impact of aggregate liquidity …

play a role in Turkey's monetary transmission mechanism. Specifically, bank liquidity is found to have a significant effect …Does the bank lending channel of monetary transmission work in Turkey? Using the May- June 2006 financial turbulence as … sector, depending on its liquidity position. …

bank may choose insufficient liquidity buffers and transparency. The regulatory response is constained: while liquidity … accumulate a buffer of liquid assets, or strengthen transparency to communicate solvency. While a liquidity buffer provides … buffers can be imposed, transparency is not verifiable. Moreover, liquidity requirements can compromise banks' transparency …

precautionary liquidity buffers is associated with measures of bank size, profitability, capitalization, and financial development …Banks’ liquidity holdings are comfortably above legal or prudential requirements in most Central American countries …. While good for financial stability, high systemic liquidity may nonetheless hinder monetary policy transmission and …

We examine the role of bank balance sheet strength in the transmission of financial sector shocks to the real economy … structural liquidity positions in 2007Q2 to estimate the impact of exposure to market freezes during 2007–08 on the supply of … bank credit. We find that banks with strong balance sheets were better able to maintain lending during the crisis. In …

discipline bank behavior. By controlling for a more comprehensive set of risk/return factors, the study improves upon …