Liquidity provision is often attributed to debt-issuing intermediaries like banks. We develop a unified theoretical … liquidity by insuring against idiosyncratic liquidity shocks. Quantitatively, bond funds provide 12.5% of the liquidity that …, as in swing pricing, liquidity provision is not necessarily reduced. This is because swing pricing may increase funds …

-and-repurchase (repo) contracts. Exemption from an automatic stay in bankruptcy enables financial intermediaries to raise greater liquidity … and induces entry of intermediaries with higher leverage during normal times. This liquidity creation occurs, however, at … aggregate risk …

We study capital regulation in a dynamic model for bank deposits. Capital regulation addresses banks' incentive for … excessive leverage that dilutes depositors, but preserves some dilution to reduce bank defaults. We show theoretically that … capital regulation is subject to a time inconsistency problem. In a model with non-maturing deposits where optimal withdrawals …

The traditional model of bank-led financial intermediation, where banks issue demandable deposits to savers and make …, and discusses their implications for the financial system and regulation. We document that the balance sheet share of …% to 13%. Additionally, the share of loans as a percentage of bank assets has fallen from 70% to 55%. We develop a …

bank that can infuse liquidity cheaply may be motivated to intervene in the face of fire sales. If so, it can crowd out the … private market and, if liquidity intervention is not priced at higher-than-breakeven rates, induce overinvestment. We examine …

Bank liquid asset holdings vary significantly across banks and through time. The determinants of liquid asset holdings …

differences in "preferences and technologies." Large banks offer superior liquidity services but lower deposit rates, and locate … locations of large-bank branches have demographics typically associated with greater financial sophistication, large-bank …

Bank payout policy is strongly affected by regulation and politics, especially for the largest banks. Banks, but not … industrial firms, have consistently lower payouts in times of high regulation uncertainty and under democratic presidents. After … the Global Financial Crisis, bank regulators' influence on payout policies of the largest banks increases sharply and …

maximization. We frame the question by positing that net zero lending may create differential value through the channels of risk … to survey the literature and speak to gaps in research knowledge. We uncover multiple roles for risk arguments … influencing decarbonization. Moreover, decarbonization and green investment are tied to enhanced profitability through bank …