This study documents that asset purchase programs can dampen market liquidity. It uses a unique dataset of global euro … bank purchases amplifies liquidity for several weeks, liquidity declines after half a year. The drop relates to the central … bank's bond inventory. It is partly mitigated by a reduction in buying, but liquidity does not fully recover. The …

. Such liquidity effects can severely reduce the ability or willingness to pay of private investors in the household sector …

This work uses financial markets connected by arbitrage relations to investigate the dynamics of price and liquidity … discovery, which refer to the cross-instrument forecasting power for prices and liquidity, respectively. Specifically, we seek … the liquidity discovery induced by the COVID-19 pandemic. Within a cointegration model, we find that price discovery …