endogenous bank fragility and slow recovery from crises. When banks' investment decisions are not contractible, depositors form …I propose a dynamic general equilibrium model in which strategic interactions between banks and depositors may lead to … complementarities and possibly multiple equilibria: in response to an increase in funding costs, banks may optimally choose to pursue …

We analyze securities trading by banks during the crisis and the associated spillovers to the supply of credit. We use … a proprietary dataset that has the investments of banks at the security level for 2005-2012 in conjunction with the … credit register from Germany. We find that - during the crisis - banks with higher trading expertise (trading banks) increase …

-in effects on bank resilience appear mixed. While it incentivises banks to reduce risk-taking (e.g., increasing risk …

Using bank balance sheet data, we find evidence that leverage and asset risk of European multinational banks in the …

individual asset holding data of German banks. I find that banks operating with tight regulatory constraints exploit the low risk …-sensitivity of rating-contingent capital requirements for ABS. Unlike unconstrained banks they systematically pick the securities … for yield allows constrained banks to increase the return on the capital required for an ABS investment by a factor of …

The aim of this paper is twofold: first, to study the determinants of banks' net interest margin with a particular … for banks of the relaxation of a binding prudential limit on maturity mismatch, in place in Italy until the mid-2000s. The …

stochastic policy mix lead to suboptimal allocations if banks do not internalize insolvency costs. The policy of forbearance may … make banks internalizing such costs and improves the efficiency of intermediation. …

We investigate profit shifting by the largest and systemically relevant European multinational banks using new data …