The extant literature suggests that one of the main causes of the recent financial crisis has been the excessive use of short-term debt by banks [Gorton and Metrick (2012a, b)]. Using a large sample of banks we find that increases in repurchase agreements (repos) was recognized by external...

We examine the effects of passive investing on security lending outcomes and price efficiency for the 2007-2017 period. These effects cannot be fully explained by the standard lending supply channel. While all institutional investors contribute to lending supply, only passive ownership improves...