In August of 2007, banks faced a freeze in funding liquidity from the asset-backed commercial paper (ABCP) market. We … investigate how banks scrambled for liquidity in response to this freeze and its implications for corporate borrowing. Commercial …

We study liquidity transfers between banks through the interbank borrowing and asset sale markets when(i)surplus banks … providing liquidity have market power, ii)there are frictions in the lending market due to moral hazard, and(iii)assets are bank … markets, or is prepared to extend potentially loss-making loans. The public provision of liquidity to banks, in fact its mere …

firms with higher cash reserves are less likely to default in the short term, endogenously determined liquidity may be …

In August of 2007, banks faced a freeze in funding liquidity from the asset-backed commercial paper (ABCP) market. We … investigate how banks scrambled for liquidity in response to this freeze and its implications for corporate borrowing. Commercial …

We study the exposure of the US corporate bond returns to liquidity shocks of stocks and Treasury bonds over the period … 1973 - 2007 in a regime - switching model. In one regime, liquidity shocks have mostly insignificant effects on bond prices … default), suggest the existence of time-varying liquidity risk of corporate bond returns conditional on episodes of flight to …