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's credit rating improves and CDS spread declines after LTAP grants, suggesting that LTAPs help reduce firms' credit risk …
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Safe assets play a critical role in an(y) economy. A "safe asset" is an asset that is (almost always) valued at face value without expensive and prolonged analysis. That is, by design there is no benefit to producing (private) information about its value. And this is common knowledge....
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Safe assets play a critical role in an(y) economy. A safe asset is an asset that is (almost always) valued at face value without expensive and prolonged analysis. By design, there is no benefit to producing (private) information about its value, and this is common knowledge. Consequently, agents...
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We examine the dynamic interconnection between sovereign credit and liquidity risks in ten euro area countries at the …-VAR connectedness approach of Antonakakis et al. (2020). Our results indicate that for most periods net connectedness is from credit … credit risk. Through an event study we find that the latter episodes can be related to several ECB unconventional monetary …
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