We analyze how the Lehman and sovereign crises affect cross-border interbank liquidity, exploiting euro … foreign lenders. Crisis shocks reduce the supply of cross-border liquidity, with stronger volume than pricing effects. On the … margin—riskier borrower banks suffer more. Moreover, the cross-border liquidity crunch is substantially stronger for term …

In August of 2007, banks faced a freeze in funding liquidity from the asset-backed commercial paper (ABCP) market. We … investigate how banks scrambled for liquidity in response to this freeze and its implications for corporate borrowing. Commercial … syndicated loan packages denominated in dollars. The results point to a funding risk in global banking, manifesting as currency …

In August of 2007, banks faced a freeze in funding liquidity from the asset-backed commercial paper (ABCP) market. We … investigate how banks scrambled for liquidity in response to this freeze and its implications for corporate borrowing. Commercial … syndicated loan packages denominated in dollars. The results point to a funding risk in global banking, manifesting as currency …

advantage of their higher risk-bearing capacity to gain exposure (via central bank liquidity) to the set of riskier sovereign … strong link is present between central bank liquidity support and sovereign holdings, opportunistic strategies or reach … risk-weighted capital framework of banks. …

detrimental effects of higher risk taking incentives.We find that central bank supply of liquidity quite generally increases … microfounded network model with endogenous network formation to analyze the impact of central banks' monetary policy interventions … on systemic risk. Banks choose their portfolio, including their borrowing and lending decisions on the interbank market …

channels. We introduce direct contagion through a 2-layered multiplex network to account for the distinct dynamics resulting … prociclicality and liquidity hoarding are specifically considered through indirect transmission channels. This framework allows us to … analyze the determinants of systemic crisis and the resilience of different financial network configurations. Our first …

visualized using network graphs. Our results support the view that market-implied spillover risks have decreased since the … yields did not show risk spreads that were as large as those in 2012 …

literature on the role of network linkages in fostering systemic risk …This chapter develops a unified framework for the study of how network interactions can function as a mechanism for … macroeconomic risk originating from microeconomic shocks, and models of financial interactions. Under the assumption that shocks are …

visualized using network graphs. Our results support the view that market-implied spillover risks have decreased since the … yields did not show risk spreads that were as large as those in 2012 …

channels. We introduce direct contagion through a 2-layered multiplex network to account for the distinct dynamics resulting … prociclicality and liquidity hoarding are specifically considered through indirect transmission channels. This framework allows us to … analyze the determinants of systemic crisis and the resilience of different financial network configurations. Our first …