Showing 1 - 10 of 12,109
Persistent link: https://www.econbiz.de/10013102252
unprecedentedly during the recent financial crisis, may impose indirect costs to financial stability if bailout expectations of … participants adjusted their bailout expectations in response to government interventions, undermining market discipline mechanisms …
Persistent link: https://www.econbiz.de/10011729999
Persistent link: https://www.econbiz.de/10012135186
Government interventions such as bailouts are often implemented in times of high uncertainty. Policymakers may therefore rely on information from financial markets to guide their decisions. We propose a model in which a policymaker learns from market activity and where market participants have...
Persistent link: https://www.econbiz.de/10012243366
lenders' beliefs about the probability of bailout. Events like Lehman's collapse are conceived of as ”black swan” events that … led lenders to put a positive mass on bailout probabilities that were previously assigned zero mass.Results of the … analysis include: (i) An unanticipated increase in bailout uncertainty raises interest rates, the volume of defaults in both …
Persistent link: https://www.econbiz.de/10013122330
This paper examines the institutional design of the EU European and Monetary Union. Specifically, it analyses five different institutions that have been set up in the post-financial crisis period, namely the three European Supervisory Authorities (ESMA, EBA and EIOPA), the European Financial...
Persistent link: https://www.econbiz.de/10012958739
The 2007–9 financial crisis threatened economic disaster on a scale not seen since the Great Depression, but rapid state action prevented the widely feared devastation. The German response was considerably more generous to banks than the American or British bailouts. Drawing on interviews and...
Persistent link: https://www.econbiz.de/10013285455
The Mexican banking crisis of 1994/95 necessitated a major government rescue operation - estimated to have cost about 20 per cent of GDP. Since then, financial sector reforms have been implemented and the performance of the Mexican financial system has markedly improved, as shown by indicators...
Persistent link: https://www.econbiz.de/10012446004
Belgium in 1830 to the early 21st century. After severe crises, the National Bank of Belgium was created in 1850. The Great …
Persistent link: https://www.econbiz.de/10014080440
-prone securities from the financial system. By contrast, current regulation guarantees run-prone bank liabilities and instead tries to … regulate bank assets and their values. I survey how a much simpler, rule-based, liability regulation could eliminate runs and …
Persistent link: https://www.econbiz.de/10013006535