This paper investigates the relationship between the two major sources of bank default risk: liquidity risk and credit … between these two risk sources on the bank institutional-level and how this relationship influences banks' probabilities of … risks separately increase the PD, the influence of their interaction depends on the overall level of bank risk and can …

of 2017, the per dollar liquidity provision by bond mutual fund shares amounts to a quarter of that by uninsured bank … insurance. However, the gap has been narrowing between 2011 and 2017, which we show can be ascribed to post-crisis bank … regulations and unconventional monetary policies that restricted bank holdings of illiquid assets. Further applying the LPI to …

between cash and bank credit lines. Banks create liquidity for firms by pooling their idiosyncratic risks. As a result, firms … shorten. Also consistent with the mechanism in the model, we find that exposure to undrawn credit lines increases bank …

A bank's liquidity risk lays in the intersection of funding risk and market liquidity risk. We offer a mathematical … quantification of a bank's illiquidity at balance sheet level. This leads to the concept of liquidity-adjusted risk measures defined … toolbox of bank managers and regulators to manage liquidity risk …

' choice between cash and lines of credit as a source of liquidity. I find that customer risk decreases the reliance on bank …