Why should monetary policy "lean against the wind"? Can’t bank regulation perform its task alone? We model banks that … choose both asset volatility and leverage, and identify how monetary policy transmits to bank risk. Subsequently, we …

by the individual chartered commercial banks. Using historical balance sheet and accounting data, we show that the …

government guarantees rather than from corporate governance failures within banks. The idea of the proposed regulation is to …

regulatory balance sheet data for U.S. commercial banks and repo market data for broker-dealers. Even for moderate shocks in … normal times, fire-sale externalities can be substantial. For commercial banks, a 1 percent exogenous shock to assets in 2013 … but shows a notable increase starting in 2004, ahead of many other systemic risk indicators. Although the largest banks …

leverage faced tighter constraints in accessing bank credit after the COVID-19 outbreak in spring 2020. Specifically, SMEs with … higher pre-COVID leverage obtained a smaller volume of new loans and had to pay a higher spread on them during the pandemic … period. Consistent with an inward shift in loan supply, these effects were concentrated in loans originated by banks with …

that exists only for systemically important banks. Leverage restrictions have the potential to reduce the fraction of banks … mitigate moral hazard (of banks with low leverage) but do not affect (endogenous) systemic risk. A combination of both …

, a leverage ratio, to maintain financial stability, while taking account of the impact on credit provision. A change in …

' liabilities are affected because of the safety net and its design. Banks lower their leverage ratio as a response to the explicit … deposit and non-deposit liabilities after the implementation of explicit deposit insurance. The paper tests how banks …

government guarantees rather than from corporate governance failures within banks. The idea behind the proposed regulatory … by curbing risk-taking incentives, the higher the leverage the bank is permitted to take on. Consequently, the risk …

by the individual chartered commercial banks. Using historical balance sheet and accounting data, we show that the …