. Using this framework, we show conditions under which idiosyncratic shocks to bank lending can generate aggregate … sector for many countries is indeed granular, as the right tail of the bank size distribution follows a power law. We then … concentration is associated with a positive and significant relationship between bank-level credit growth and aggregate growth of …

bank-level can impact aggregate volatility. We find weak evidence for a link between granular banking sector volatility and …

enhances the incentives of banks to expand within Euroland. Yet, while the currency bias in bank portfolios will be eliminated …

Europe, bank finance plays a relatively important role, and efforts have been made at creating a level playing field for …