financial implications of such defaults for both households and banks. Results from a calibrated version of the model suggest …

In an investigation of banks’ loan pricing policies in the United States over the past two decades, this study finds … supporting evidence for the bank risk-taking channel of monetary policy. We show that banks charge lower spreads when they lend … compared to periods of high short-term rates. The interest discount that banks offer riskier borrowers when short-term rates …

important additional indicators of distress of individual banks, or lack thereof than the CDSs. It therefore seems that central … banks should utilize high-frequency data on liquidity demand to obtain a better picture of financial health of individual …

systemic risk. Multivariate extreme value theory approach is used to estimate these measures. Using six big Canadian banks as … the proxy for Canadian banking sector, we apply these measures to identify systemically important banks in Canadian … evidence reveals that (i) the top three banks, RBC Financial Group, TD Bank Financial Group, and Scotiabank are more …

Banks reliance on short-term funding has increased over time. While an effective source of financing in good times, the … 2007 financial crisis has exposed the vulnerability of banks and ultimately firms to such a liability structure. The … authors show that banks that relied most on wholesale funding were the ones to contract its lending the most during the crisis …

equilibrium model with banks and bank capital, in which bank capital solves an asymmetric information problem between banks and … their creditors. In this economy, the lending decisions of individual banks affect the riskiness of the whole banking sector …, though banks do not internalize this impact. Regulation, in the form of a constraint on bank leverage, can mitigate the …