Bech, Morten L. - In: Economic Policy Review (2008) Sep, pp. 7-23
credit to member banks, either as collateralized credit or priced credit. Because intraday credit is costly for banks, how … setting. The games played by banks depend on the intraday credit policy of the central bank and encompass two well …-known paradigms in game theory: "the prisoner's dilemma" and "the stag hunt." The former strategy arises in a collateralized credit …
