that banks respond to a negative funding liquidity shock in a number of ways. First, banks reduce lending, especially … wholesale lending. Second, banks hoard liquidity in the form of liquid bonds and central bank reserves. Third, banks conduct …The crisis of 2007-2009 has shown that financial market turbulence can lead to huge funding liquidity problems for …

This study empirically investigates the relationship between banking integration and liquidity management. To measure … stress are more likely to face increased funding costs, create reduced liquidity, and originate declined small business loans … and mortgages. Those banks with more partners are shown to have a lower liquidity coverage ratio, suggesting that business …

impact of bank credit supply frictions on firm performance. I exploit differences in the composition of banks' liabilities … structure during the financial crisis of 2007-2009 as a source of exogenous variation in the availability of bank credit to … nonfinancial firms, in order to identify the causal relationship between bank credit supply and firm performance, measured by firms …

of idiosyncratic liquidity shocks - arising from deposits outflow at the bank level - and of the aggregate liquidity … shock related to the U.S. tapering observed between May and September of 2013. We find that both liquidity shocks are … during idiosyncratic liquidity shocks, while central bank liquidity contributes to smooth the impact of aggregate liquidity …

. Liquidity stress tests have been applied in parallel to and independently from solvency stress tests, based on scenarios which … testing of solvency and liquidity: our approach exploits the mechanisms underlying the solvency-liquidity nexus to derive … relations between solvency shocks and liquidity shocks. These relations are then used to model liquidity and solvency risk in a …

We study the role of captive finance in the car loan market when manufacturers' liquidity demand increases. Using a new … multi-country dataset on securitized car loans, we show that captive lending enables a liquidity constrained integrated … exploit quasi-exogenous variation in manufacturers' liquidity cost and need following the Volkswagen emissions scandal to …

-shares of the same fund during the unprecedented liquidity crisis in March 2020. For an average bond or equity mutual fund … collective "dash for cash" by consumers and firms in need of liquidity at the outset of the COVID-19 pandemic was not the source …

paper, we find more complex effects on bank lending from Quantitative Easing (QE) introduced by the Federal Reserve Bank in … 2008. The novelty of our approach is to augment the model with bank-level heterogeneity. While there is a relation between … lending and the type of assets purchased by the central bank, the impact on similarly QE-exposed banks is also crucially …