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incorporating reputational considerations; a model with delegated investment as in Diamond; one with bank liabilities serving as …
Persistent link: https://www.econbiz.de/10012018898
an agent-based computational model populated by consumers, firms, banks, and a central bank whose out …
Persistent link: https://www.econbiz.de/10011567107
This paper analyzes financial intermediation chains in a search model with an endogenous intermediary sector. We show that the chain length and price dispersion among interdealer trades are decreasing in search cost, search speed, and market size but increasing in investors' trading needs. Using...
Persistent link: https://www.econbiz.de/10011939930
At the forefront of macroeconomic research on the causes of the Great Financial Cri- sis (GFC) was and still is the usage of dynamic stochastic general equilibrium (DSGE) models. To capture the nonlinearities of the GFC, these models were enriched with a variety of financial frictions. This...
Persistent link: https://www.econbiz.de/10012198325
Persistent link: https://www.econbiz.de/10011774723
We reconsider the role of financial intermediaries in monetary economics, and explore the hypothesis that the financial intermediary sector is the engine that drives the financial cycle through fluctuations in the price of risk. In this framework, balance sheet quantities emerge as a key...
Persistent link: https://www.econbiz.de/10014025668
reputational considerations, those with fixed costs and delegated investment, and those where bank liabilities serve as payment …
Persistent link: https://www.econbiz.de/10014227778
Persistent link: https://www.econbiz.de/10013166345
Persistent link: https://www.econbiz.de/10012243967
study whether government subsidies to firms affect the quantity and quality of bank lending. We combine the universe of … modalities of GRW subsidies to firms are determined at the EU level. Therefore, we use it to identify bank outcomes. Banks with … relationships to more subsidized firms exhibit higher lending volumes without any significant differences in bank stability …
Persistent link: https://www.econbiz.de/10013412630