banks and sovereigns is intertwined. We find that banks and sovereigns are linked by three interacting channels: banks hold … large amounts of sovereign debt; banks are protected by government guarantees; and the health of banks and governments …

We show that public guaranteed loans (PGL) increase credit availability improving real effects, but private banks …' incentives imply that weaker banks shift riskier corporate loans to taxpayers. We exploit credit register data during the COVID …-19 shock in Spain, and a stylized model guides the empirics. Unlike non-PGL, banks provide more PGL to riskier firms in …

This paper studies the significant variation in the cross-section of standalone and systemic risk of large banks during …-based capital requirements on banks …

central bank haircuts. LOLR increases interconnectedness by incentivizing banks to pledge higher haircut gap bonds, especially … issued by similar banks and by systemically important banks. LOLR also exacerbates cross-pledging of bank bonds. Higher … haircut gaps only incentivize banks, not other intermediaries without LOLR access, to increase bank bond holdings. Finally …

extent of bad loans made by banks and the long-term real consequences of crises …

banks and sovereigns is intertwined. We find that banks and sovereigns are linked by three interacting channels: banks hold … large amounts of sovereign debt; banks are protected by government guarantees; and the health of banks and governments …

banks and sovereigns is intertwined. We find that banks and sovereigns are linked by three interacting channels: banks hold … large amounts of sovereign debt; banks are protected by government guarantees; and the health of banks and governments …