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

with bank-level data to study the contagion potential of an exogenous shock via credit and funding risks. We find that …-linear function of the combination of network structures and bank-specific characteristics …

The paper focuses on the impact of diversification on bank performance and how consolidation through mergers and … indigenous banks, as compared to foreign competitors in the ECCU. We then simulate bank mergers both within and across ECCU … countries by combining individual banks' balance sheets. The simulation shows that a typical indigenous bank could better …

conditional profitability distributions. Real GDP growth and the NPL ratio are shown to be the most reliable determinants of bank …

This paper investigates the degree of bank competition in the euro area, the U.S. and U.K. before and after the recent … financial crisis, and revisits the issue whether the introduction of EMU and the euro have had any impact on bank competition …. The results suggest that the level of bank competition converged across euro area countries in the wake of the EMU. The …