, precipitating a run on their short-term debt. We assess the effectiveness of different European Central Bank (ECB) interventions … (i) by being lender of last resort to banks via the long-term refinancing operations (LTRO), ECB temporarily reduced … of private short-term investors from Eurozone banks intensified. (ii) In contrast, ECB’s announcement of being a …

agreements (repos) was recognized by external capital markets to increase bank risk in the pre-crisis period. In the crisis, we … find a negative relationship between repos and risk. We attribute this result to evidence suggesting that “good” banks were … able to continue funding their repos, whereas “bad” banks had to significantly decrease their repo funding …