produces greater overall lending relative to bank assets and more lending to households relative to both bank assets and GDP …

Does the level of deposits matter for bank fragility and efficiency? In a banking model with endogenous bank runs and a … consumption-saving decision, we show that the level of deposits has opposite effects on bank fragility depending on the nature of … bank runs. In an economy with panic-driven runs, higher deposits make banks less fragile, while the opposite is true when …

significantly banking performance and the financial system's stability. My paper investigates the reaction of bank depositors to … the banks' risk-taking. After the crisis, the second relationship wanes: Bank customers still react actively to interest … rates but not to risk, presumably because they have learned that their deposits are safe, whatever risk the bank is taking …

in banks depended on both the interest rates offered and on measures of the banks' risk-taking. After the crisis, bank … deposits are safe regardless of the risk the bank is taking …

A bank panic is an expectation-driven redemption event that results in a self-fulfilling prophecy of losses on demand … surprisingly di¢ cult to generate bank panic equilibria if one allows for a plausible degree of contractual flexibility. A common … minimum scale requirement. With this simple and empirically-plausible modification to the standard model, we find that bank …

A bank panic is an expectation-driven redemption event that results in a self-fulfilling prophecy of losses on demand … surprisingly di¢ cult to generate bank panic equilibria if one allows for a plausible degree of contractual flexibility. A common … minimum scale requirement. With this simple and empirically-plausible modification to the standard model, we find that bank …