-slump macroeconomic cycles. During both crises, world trade collapsed faster than world incomes and the trade decline was highly …

) and stigma (the cost of having a bank's name revealed) are desirable to restore confidence. Lending facilities raise the …

investment books of all time by the Financial Times, Manias, Panics and Crashes puts the turbulence of the financial world in …

This paper identifies how bank branching benefited local economies during the Great Depression. Using archival data and … narrative evidence, I show how Bank of America's branch network in 1930s California created an internal capital market to … competing banking offices. The bank's presence caused smaller city property value contractions and stronger recoveries through …

of financial crises, showing that money is taken out of circulation when bank loans are paid back. This key insight is at … economy that cannot generate enough demand for its own goods and services. Financial crises result when bank lending slows … down or comes to a halt – while outstanding bank loans are still due for repayment. The mechanism is discussed in detail …

We consider bank panic models in which, depending on the configuration of fundamentals, there can be a positive … probability of a bank panic. A crucial assumption in these models is that new equity cannot enter in a panic. We quantify the … restriction on bank leverage. We compute the Ramsey-optimal leverage restriction but find that there is an implementation problem …