the lens of a dynamic general equilibrium model with oligopolistic banks and heterogeneous firms. The lack of competition … allows banks to price discriminate and charge firm-specific markups in excess of default premia. In turn, the cross …-sectional dispersion of markups amplifies the impact of macroeconomic shocks. During a crisis, banks exploit their market power to extract …

three questions: what are the effects of competition on banks' monitoring incentives? Does competition hurt banks' stability …This paper addresses the desirability of competition in banking industry. In a model where banks compete on both … deposit and loan markets and where banks can use monitoring technology to control entrepreneurs' behavior, we investigate …

. Firms' benefits from collaborations arise by sharing knowledge about a cost-reducing technology. By forming collaborations …

creates money by lending to banks, and banks on-lend the proceeds to the economy. The proposed model would allow for deposits … at the cost of suppressing the role of banks as lenders. A Central Bank Digital Currency (CBDC) could provide safe money … to be taken off the balance sheet of banks and into the balance sheet of the central bank, thereby removing significant …

We show that nonbanks (funds, shadow banks, fintech) affect the transmission of monetary policy to output, prices and …, borrowerlender relationships and Gertler-Karadi monetary policy shocks. Higher policy rates shift credit supply from banks to …

dollar credit supply to non-US firms (relative to banks), mitigating the dollar credit reduction. This increase is stronger … funding, relative to banks. In sum, despite increased risk-taking by less regulated and more fragile nonbanks (relative to … banks), access to nonbank credit reduces the volatility in capital flows-and associated economic activity-stemming from US …

prices that banks pay for liquidity, captured here by borrowing rates in repos with the central bank and benchmarked by the … overnight index swap. We have price data at the individual bank level and, unique to this paper, data on individual banks … liquidity. We find that the price a bank pays for liquidity depends on the liquidity positions of other banks, as well as its …

more deposits while trying to slow down loan growth rates. To this end, these banks offered higher rates to deposits … puzzling observation from Turkish banking system. During 2015-2016, retail rates of Turkish banks displayed a persistent upward … deterioration in the structural liquidity positions of Turkish banks, reflected as rising loanto-deposit ratios (LDR). Our results …