materialize. Financial regulation encouraging the decarbonization of the banks' balance sheets via tax-subsidy schemes …

Financial regulation is often framed as a question of economic efficiency. This paper, by contrast, puts the … distributive implications of financial regulation at center stage. We develop a formal model in which the financial sector benefits … efficiency in the real economy, which is aided by tighter regulation and a more stable supply of credit. We also show that …

Financial regulation is often framed as a question of economic efficiency. This paper, by contrast, puts the … distributive implications of financial regulation center stage. We develop a model in which the financial sector benefits from risk … sector, which is aided by deregulation, against efficiency in the real economy, which is aided by tighter regulation and a …

Banking is risky and prone to failure. Yet banking regulation is surprisingly not all that risk-sensitive in practice …. I show that when the bank has an informational advantage over the regulator, designing risk-sensitive banking regulation … gives rise to a trade-off: relying on the banking market for information to refine regulation improves bank risk-taking but …

internalizing the externality and find that this is far from guaranteed. In a standard model of liquidity shocks, when liquidity is … productivity shocks, the Cournot equilibrium overcorrects for the fire-sale externality and holds less capital than socially … efficient. Implications for welfare and regulation therefore depend highly on the nature of the shocks and the competitiveness …

I analyze the effects of liquidity risk regulation in a model of investors, mutual funds, and the underlying asset …

Banking is risky and prone to failure. Yet banking regulation is surprisingly not all that risk-sensitive in practice …. I show that when the bank has an informational advantage over the regulator, designing risk-sensitive banking regulation … gives rise to a trade-off: relying on the banking market for information to refine regulation improves bank risk-taking but …

to use regulation rather than taxation in order to charge the minority a large share of the externality reduction …. This problem may be solved, at least partially, either with financial regulation or taxation. From a normative viewpoint … taxation is superior in many respects. However, reality shows that financial regulation is more frequently adopted. In this …

This paper examines financial regulation and distortionary taxes in a heterogeneous-agents economy with pecuniary …

Financial regulation is often framed as a question of economic efficiency. This paper, by contrast, puts the … distributive implications of financial regulation center stage. We develop a model in which the financial sector benefits from risk … sector, which is aided by deregulation, against efficiency in the real economy, which is aided by tighter regulation and a …