In this paper, we specify a Random Utility Model of Demand for Deposits inthe U.S. Banking Industry, assessing its … participate in only one market and no bank participates in all markets). We modify the standard models to incorporate the fact …

depositors choose between differentiated banks. Banks compete for deposits and endogenously default. The estimated demand for … side of the model. The calibrated model possesses multiple equilibria with bank-run features, suggesting that banks can be … very fragile. We use our model to analyze proposed bank regulations. For example, our results suggest that a capital …

banks must continue to operate branches and ATMs in Greece. Finally, we show that local GDP helps significantly in … banking services in Greece. …