On 11 March 2015, SUERF jointly organised a conference with the Oesterreichische Nationalbank and the Austrian Society for Bank Research (Bankwissenschaftliche Gesellschaft - BWG). The present SUERF Study 2015/2 includes a selection of papers based on the authors' contributions to the Vienna...

The recent financial crisis has been characterized by unprecedented monetary policy interventions of central banks with the intention to stabilize financial markets and the real economy. This paper sheds light on the actual impact of monetary policy on stock liquidity and thereby addresses its...

This paper isolates the operation of the ECB’s balance-sheet channel (2003-2016) by assessing how high-frequency identified asset-price surprises affect firm-based cash-to-asset ratios conditional on the value of available collateral. It is found that positive surprises that enhance future...

We show that a liquidity shock can affect the solvency of a bank and cause its default if the bank does not hold enough liquid assets. The model we propose is an extension of Merton (1974) model and consists of assessing a probability of default over one and two (short) periods relative to the...

The first part of this paper outlines the concept of democratic accountability of central banks, and compares the legal accountability of the ECB with some other central banks (Bank of Canada, Bank of Japan, Bank of England and the Federal Reserve System). In the second part, we present a theory...