Focus The paper discusses why the financial system is not as resilient as policymakers currently claim – despite extensive regulatory reforms from a very weak starting point. Contribution The paper discusses different policy strategies for making some of the debt of some banks “information-insensitive”, so that they it would be treated as safe in all[…]
A structural feature of cross-border banking is its high degree of concentration, with a small number of very large bilateral links accounting for the lion’s share of total global cross-border bank credit. The largest links are almost exclusively between advanced economies, while links involving emerging market economies (EMEs) tend to be of smaller size. Concentration[…]
The report summarises the responses received to the survey by Basel Committee member jurisdictions and those of the Basel Consultative Group. In brief, the majority of respondents to the survey currently apply proportionality measures in their jurisdictions. In most cases, such measures are applied to banks that represent a relatively small share of total banking[…]
CfP Deadline Date: July 15, 2019 Conference Event: October 18-19, 2019 Event Location: Montréal, Canada Organizer(s): CIRANO and the Sam M. Walton College of Business at the University of Arkansas Networks are everywhere. Global trade, supply chains, financial markets, the World Wide Web, professional and social communities are examples of interconnected systems that are important[…]
Authors:Jonas Heipertz, Amine Ouazad, Romain Rancière Date:July 2019 Abstract:The paper uses bank- and instrument-level data on asset holdings and liabilities to identify and estimate a general equilibrium model of trade in financial instruments. Bilateral ties are formed as each bank selects the size and the diversification of its assets and liabilities. Shocks propagate due to[…]
Authors: Joseba Martinez, Thomas Philippon, Markus Sihvonen Date: June 2019 Abstract: We compare risk sharing in response to demand and supply shocks in four types of currency unions: segmented markets; a banking union; a capital market union; and complete financial markets. We show that a banking union is efficient at sharing all domestic demand shocks[…]