profiting from lending and incurring greater liquidity risk. We calibrate our model to study quantitatively why banks have …We develop a new framework to study the implementation of monetary policy through the banking system. Banks finance … illiquid loans by issuing deposits. Deposit transfers across banks must be settled using central bank reserves. Transfers are …

We use data on UK banks’ minimum capital requirements to study the interaction of monetary policy and capital … requirement regulation. UK banks were subject to both time-varying capital requirements and changes in interest rate policy …. Tightening of either capital requirements or monetary policy reduces the supply of lending. Lending by large banks reacts …

the Liquidity Challenge: The Changing Role of Credit Portfolio Management <i>(IACPM and KPMG)</i></li> <li>NUS-RMI Credit …

the asset that serves as collateral, specific to each agent. The valuation of this asset will reflect its liquidity as a …

We use data on UK banks’ minimum capital requirements to study the impact of changes to bank-specific capital … multiple relationships with UK-resident banks, we are able to control for demand effects. We find a negative and statistically … significant effect of changes to banks’ capital requirements on cross-border lending: a 100 basis point increase in the …

We use data on UK banks׳ minimum capital requirements to study the impact of changes to bank-specific capital … multiple relationships with UK-resident banks, we are able to control for demand effects. We find a negative and statistically … significant effect of changes to banks׳ capital requirements on cross-border lending: a 100 basis point increase in the …

This paper compares the behavior of Euro-Area (EA) banks’ credit and reserves with those of US banks following … substantially higher than previously believed, in the EA). The paper shows that, although the behavior of banks’ credit following …. In particular, while US banks’ reserves have been on an uninterrupted upward trend since Lehman’s collapse, those of EA …

. Financial development is modeled as a mechanism that endows real assets (e.g., land and capital) with liquidity. However …, liquidity can be impaired by shocks that are equivalent to a bank run. Liquidity creation enhances real asset prices, while a … liquidity crunch generates asset price collapse. This bubble-looking episode is not driven by standard fundamentals, although it …