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-big-to-fail (TBTF) banks with two goals: first, to increase the ability of these banks to absorb future financial shocks and second, to … weaken the market expectation of public support for these banks in the event of a future financial crisis, thereby reducing … the moral hazard problem associated with TBTF banks. We use an event study approach to analyze the market reaction to the …
Persistent link: https://www.econbiz.de/10010665655
In the post-crisis period, increased regulation of financial intermediaries led to a significant decline in corporate bond market liquidity. In order to stabilize these markets, policy makers recently proposed that the trading of corporate bonds should be more centralized. In this paper, we show...
Persistent link: https://www.econbiz.de/10011384108
Over the years, there has been a lot to consider in the Federal Reserve's choices of monetary policy and their relationship to bubbles. My conclusion is that mistaken U.S. monetary policy, usually related to the Fed's indifference to the value of the dollar, has repeatedly caused harmful asset...
Persistent link: https://www.econbiz.de/10013083286
Persistent link: https://www.econbiz.de/10012900571
Initial Coin Offerings (ICOs) are currently the hottest topic in the financial markets. They typically use blockchain technology to offer so-called ‘tokens' that can confer various rights. Experts estimate that the amount of money raised via ICOs will reach US$ 20 billion by the end of 2018....
Persistent link: https://www.econbiz.de/10012898989
Bitcoin is a relatively new technology with much promise. As the world's first successful cryptocurrency, it seems likely to lower the costs of transacting. Nonetheless, many regulators hold a strong presumption that something must be done. I considered the popular justifications for regulating...
Persistent link: https://www.econbiz.de/10012937132
The global financial crisis in 2007 prompted policy makers to introduce a combination of bank regulation and macroprudential policies, including non-conventional monetary policies, such as interest on reserves and changes in required reserves. This paper examines how the combination of such...
Persistent link: https://www.econbiz.de/10013019923
bank capital that is able to absorb losses of banks, without hindering the continued operations of banks. The qualitative … resolution nor do they relate to the additional capital requirements imposed on systematically important banks. They also are not … binding effects between banks and their shareholders and bond investors. Another topic addressed in this contribution concerns …
Persistent link: https://www.econbiz.de/10013025275
or shadow banks have limited or no prudential regulations. This paper studies the macroeconomic impact of household …
Persistent link: https://www.econbiz.de/10013264902
On the basis of the European Commission’s 2015 Action Plan “on Building a Capital Markets Union” (CMU), as further specified in the 2017 “Mid-Term Review of the [CMU] Action Plan”, the European Parliament and the Council adopted on 27 November 2019 Regulation (EU) 2019/2088 “on...
Persistent link: https://www.econbiz.de/10012437062