-run supply of bank credit. As U.S. bond rates have fallen, the pass-through of monetary shocks to loan and deposit rates has … weakened while the spread on U.S. bank loans has risen. I build a model in which banks earn deposit and loan spreads, deposits … compete with money, and banks' lending capacity depends on their equity. The short-run transmission of monetary policy is …

strength of the bank lending channel, recent evidence shows that bank-specific characteristics can have a large impact on the … mechanism particularly in a period of crisis. - Bank lending channel ; monetary policy ; financial innovation …

Loan guarantees represent a form of government intervention to support bank lending. However, their use raises concerns … as to their effect on bank risk-taking incentives. In a model of financial fragility that incorporates bank capital and a … bank incentive problem, we show that loan guarantees reduce depositor runs and improve bank underwriting standards, except …

bank credit conditions for issuer firms, both at the firm-bank and firm level. We compare new loans granted to issuer firms … bank loans of the same maturity than non-issuer firms, suggesting an improvement in their bargaining power with banks. In … addition, issuer firms reduce the amount of used bank credit but increase the overall amount of available external funds …

Do borrowers demand less credit from banks with weak balance sheet positions? To answer this question we use novel bank … conventional monetary policy shock, bank balance sheet strength influences not only credit supply but also credit demand. The … bank-specific demand, borrower quality, and balance sheet strength. …

how the transmission depends on bank balance sheets, and how this changes once policy rates become negative. We review the …

Central Bank's policy-rate cuts in mid-2014. The pass-through of the rate cuts to banks' funding costs differs across the euro … provide a simple model of an augmented bank balance-sheet channel where in addition to costly external financing, there is …