Area and US data. We find that agency problems in financial contracts, liquidity constraints facing banks and shocks that …

, not defined in a market, but by the collateral frameworks and interest rate policies of central banks. Using the … on financial markets and the wider economy. They can, for example, bias the private provision of real liquidity and …

We study how the subjective beliefs about loan repayment on the side of liquidity-constrained banks affect the central … bank's choice of collateral standards in its lending facilities. Optimism on the side of banks, entailing a higher … banks' belief distortions and always induce the socially optimal allocation. Under uncertainty about beliefs, the central …

findings support the Basel III focus on banks’ core capital and on funding liquidity risks. They also call for a more … provision of credit. We show that new factors, such as changes in banks’ business models and market funding patterns, had … structural changes during the period of financial crisis. Banks with weaker core capital positions, greater dependence on market …

struggling to escape liquidity quicksands and stubbornly low or negative growth and employment trends. At the center of the … monetary policy pivot point. Since November 2011, the ECB has taken on an arguably activist liquidity-provider role relative to … private banks (and, in some important measure, indirectly to sovereigns) while maintaining its long-held post as 'rhetorical …

amount of liquidity to the financial system. It may, with the approval of the U.S. Treasury, establish programs of broad …