Showing 1 - 10 of 13,985
bank-level dataset to assess at a quarterly frequency how changes in the U.S. Federal funds rate (before the crisis) and … the existence of a potent global bank lending channel. In response to changes in U.S. monetary conditions, U.S. banks … strongly adjust their cross-border claims in both the pre and post-crisis period. However, we also find that U.S. bank …
Persistent link: https://www.econbiz.de/10011336667
We analyze the impact of monetary policy on bilateral cross-border bank flows using the BIS Locational Banking …-border bank flows. In addition, we find evidence in favor of a cross-border bank portfolio channel. As relatively tighter monetary … borrowers in safer countries, such as advanced economies or economies with an investment grade sovereign rating. By highlighting …
Persistent link: https://www.econbiz.de/10011967372
Few areas of monetary economics have been studied as extensively as the transmission mechanism. The literature on this topic has evolved substantially over the years, following the waxing and waning of conceptual frameworks and the changing characteristics of the financial system. In this paper,...
Persistent link: https://www.econbiz.de/10012710837
Global banks use their global balance sheets to respond to local monetary policy. However, sources and uses of funds are often denominated in different currencies. This leads to a foreign exchange (FX) exposure that banks need to hedge. If cross-currency flows are large, the hedging cost...
Persistent link: https://www.econbiz.de/10011687276
This paper studies the extent to which monetary policy may affect banks' perception of credit risk and the way banks measure risk under the internal ratings-based approach. Specifically, we analyze the effect of different monetary policy indicators on banks' risk weights for credit risk. We...
Persistent link: https://www.econbiz.de/10011786136
International financial linkages, particularly through global bank flows, generate important questions about the …, tied to the business models of the global banks and whether countries are investment or funding locations for those banks …. Empirical tests of the trilemma support this view that global bank effects are heterogeneous and that the primary drivers of …
Persistent link: https://www.econbiz.de/10013075025
of bank capital inflows. We also study domestic monetary policy and implications for capital flows. Domestic monetary …
Persistent link: https://www.econbiz.de/10012926821
an active bank capital channel to assess issues regarding the transmission of domestic and foreign shocks. The … theoretical framework includes the financial accelerator mechanism developed by Bernanke, Gertler and Gilchrist (1999), the bank … important quantitative role in explaining domestic aggregates like output, consumption, inflation and total bank's lending. In …
Persistent link: https://www.econbiz.de/10013062218
This paper assesses how the financial system influences the strength of the liquidity effect in a calibrated limited participation model of the monetary transmission mechanism. The model suggests that bankbased systems should be characterized by smaller liquidity effects since monetary...
Persistent link: https://www.econbiz.de/10009741060
How does the expansion of domestic banks in international markets affect the bank lending channel of monetary policy …? Using bank-firm loan-level data, we find that loan growth and loan rates from international banks respond less to monetary … the internationalization of banks lowers the potency of the bank lending channel. Furthermore, it diminishes the risk …
Persistent link: https://www.econbiz.de/10013323299