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This paper studies a major financial panic, the run on the German banking system in 1931, to distinguish between banking theories that view depositors as demanders of liquidity and those that view them as providers of discipline. Our empirical approach exploits the fact that the German Crisis of...
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We examine evidence for a systematic underperformance of Germany's state-owned banks in the current financial crisis …
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, France and Germany, Ireland and Denmark. She finds, however, substantial variation within these pairs. In some cases the …, France and Germany, Ireland and Denmark. She finds, however, substantial variation within these pairs. In some cases the …
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