Showing 1 - 10 of 6,931
This paper studies a modern monetary economy: trade in both goods and securities relies on money provided by intermediaries. While money is valued for its liquidity, its creation requires costly leverage. Inflation, security prices and the transmission of monetary policy then depend on the...
Persistent link: https://www.econbiz.de/10012914919
Bank leverage constraints can emerge from regulatory capital requirements as well as from central bank collateral requirements in reserve lending facilities. While these two channels are usually examined separately, we are able to compare them with the help of a bank money creation model in...
Persistent link: https://www.econbiz.de/10013218488
Bank leverage constraints can emerge from regulatory capital requirements as well as from central bank collateral requirements in reserve lending facilities. While these two channels are usually examined separately, we are able to compare them with the help of a bank money creation model in...
Persistent link: https://www.econbiz.de/10012585515
This paper explores the link between monetary policies of large industrial countries and international credit cycles. Based on an overinvestment framework, we show that in the prevailing asymmetric world monetary system, monetary policies of large centre countries can fuel credit booms in...
Persistent link: https://www.econbiz.de/10010337620
The paper engages with an important aspect of the European crisis, the European banks' reliance on collateralized (repo) market funding, that has received relatively little analytical attention in the scholarship on the European financial and sovereign debt crisis. The paper is guided by three...
Persistent link: https://www.econbiz.de/10013106366
There is a growing body of evidence that interest rate spreads in Africa are higher for big banks compared to small banks. One concern is that big banks might be using their market power to charge higher lending rates as they become larger, more efficient, and unchallenged. In contrast, several...
Persistent link: https://www.econbiz.de/10011972611
There is a growing body of evidence that interest rate spreads in Africa are higher for big ba nks compared to small banks. One concern is that big banks might be using their market power to charge higher lending rates as they become larger, more efficient, and unchallenged. In contra st,...
Persistent link: https://www.econbiz.de/10011998518
Recent studies of monetary policy in developing countries document a weak bank lending channel based on aggregate data. In this paper, we bring new evidence using Uganda's supervisory credit register, with microdata on loan applications, volumes and rates, coupled with unanticipated variation in...
Persistent link: https://www.econbiz.de/10012901740
Contemporaneous banking theory appear to understand financial institutions as intermediaries, neglecting some facts …
Persistent link: https://www.econbiz.de/10012932483
I present a novel model where Big Tech platforms create private money outside the regulated banking system. Big Tech platforms distinguish from other online markets by providing FinTech payment services, which are more cost-efficient than cash and traditional bank payments. I show that Big...
Persistent link: https://www.econbiz.de/10014255172