financial system to minimize potential contagion losses. Building on ideas from combinatorial optimization tailored to … controlling contagion in case of complete information about an interbank network, we augment the model with three plausible types … contagion losses and the policy authority's ability to control them depend on the assumed fire sale mechanism and the fiscal …

financial sector and factors that explain why these strains lead to system-wide contagion and a possible credit crunch. Most of … that a financial crisis with its contagion within the system is caused by failures of legal, regulatory and political … crises would be reduced if appropriate institutions could be put in place Lacking appropriate institutions to avoid contagion …

This paper analyzes the contagion effects associated with the failure of Silicon Valley Bank (SVB) and identifies bank …

contagion only occurs if the correlation between the portfolios of banks is high enough. Without deposit insurance contagious … bank runs can impose such great losses on banks, that banks choose less correlated portfolios to avoid contagion altogether …

of last resort and other safety net issues. We devote particular emphasis to the analysis of systemic risk and contagion …

stability. We model the default of a large bank and analyse the resulting contagion effects. This is compared to a common shock … contagion effects, but are instead the greater threat to systemic stability. …

This paper employs an Extreme Value Theory framework to investigate the existence of contagion between European and US … finding market-based indicators in order to analyze the effects of crises and to quantify the risk of contagion. The Distance … coexceedances allows to interpret significant coefficients of foreign lagged coexceedances as contagion. The main finding is that …

intervention have stronger effects beyond borders. We provide a model of international contagion allowing for bank bailouts. While …