-run growth. The paper explores an additional challenge, for monetary policy. Although they expand bank balance sheets, providing …

We examine trends in bank competition since the early 2000s. The Lerner index-arguably the most commonly used measure …

We reconsider the design of welfare-optimal monetary policy when financing frictions impair the supply of bank credit …

The recent fnancial crisis highlighted the role of Bank Holding Companies (BHCs) in exacerbating the crisis and in … monetary policy and market innovations on bank behavior in the presence of Basel III type regulations. To our knowledge, this … trading business, and show that regulations that target bank governance can mitigate possible rogue trading and the …

In this paper, we investigate how negative interest rate policy (NIRP) introduced in January 2016 by the Bank of Japan …

in the GCC. We use bank-level panel data, exploiting variation across banks within countries, to isolate the impact of ….S. monetary policy to liability rates than to asset rates and bank profitability, largely reflecting funding structures. In … addition, we explore the role of shifts in the quantity of bank liabilities as policy rates change and the role of large banks …

pronounced when either initial bank capitalization is thin or when monetary policy is tight. Moreover, in the face of credit …

This paper develops a model to assess how monetary policy rates affect bank risk-taking. In the model, a reduction in … bank extracts from borrowers. Under limited liability, this increased profitability affects only upside returns, inducing … the bank to take excessive leverage and hence risk. Excessive risk-taking increases as the interest rate decreases. At a …