strong link is present between central bank liquidity support and sovereign holdings, opportunistic strategies or reach … advantage of their higher risk-bearing capacity to gain exposure (via central bank liquidity) to the set of riskier sovereign …

Global liquidity provision is highly procyclical. The recent financial crisis has resulted in a flight to safety, with … meltdown. Bagehot's advice to 'lend freely at high rates against good collateral' has been stretched to the limit in order to … meet the liquidity needs of dysfunctional financial markets. As the eligibility criteria for central bank borrowing have …

Global liquidity provisio ... …

The past two decades have seen the construction of a tiered system of international liquidity provision, the first tier … acceptable collateral to the Fed, and the third tier including everyone else. It is a global dollar system, with the Fed …