ERN: Other Monetary Economics: Financial System & Institutions (Topic)最新文献_第4页

The Collateral Supply Effect on Central Bank Policy 抵押品供给对央行政策的影响

ERN: Other Monetary Economics: Financial System & Institutions (Topic) Pub Date : 2020-08-21 DOI: 10.2139/ssrn.3545546

Carolyn Sissoko

{"title":"The Collateral Supply Effect on Central Bank Policy","authors":"Carolyn Sissoko","doi":"10.2139/ssrn.3545546","DOIUrl":"https://doi.org/10.2139/ssrn.3545546","url":null,"abstract":"This paper starts by describing the evolution of US money markets over the course of the 1990s and the 2000s. The crucial transition was from an unsecured core money market, the Federal Funds market, to a collateralized market, the repo market. Due to this shift, collateral supply has become an important factor in money market dynamics. Three important implications of this transformation are discussed: First, government debt issues now affect the money market not just due to the need to settle payment for the debt, but also due to the on-going need to fund the carry of the debt. Second, because long-term debt is an important component of collateral supply, any significant increase in long-term rates will have a dramatic effect on the value of the aggregate collateral supply thereby making monetary policy implementation more difficult. Third, the events of March 2020 provide evidence of structural instability in the repo market, and of the problematic nature of a ‘dealer of last resort’ solution. This paper argues that the collateral supply implications of the new money market environment merit careful study, and critically evaluates the dealer of last resort, the proposal for a centralized counterparty for Treasuries, and the proposal for a standing repo facility.","PeriodicalId":299344,"journal":{"name":"ERN: Other Monetary Economics: Financial System & Institutions (Topic)","volume":"16 9","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-08-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"114106469","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 3

Funding Rate Spikes: How the Fed’s Balance Sheet Impacts Monetary Policy Transmission 融资利率飙升:美联储资产负债表如何影响货币政策传导

ERN: Other Monetary Economics: Financial System & Institutions (Topic) Pub Date : 2020-08-20 DOI: 10.2139/ssrn.3721785

Y. Yang

{"title":"Funding Rate Spikes: How the Fed’s Balance Sheet Impacts Monetary Policy Transmission","authors":"Y. Yang","doi":"10.2139/ssrn.3721785","DOIUrl":"https://doi.org/10.2139/ssrn.3721785","url":null,"abstract":"Sufficient reserve balances are crucial for effective monetary policy transmission by allowing arbitrage to close the gap between the central bank deposit rate and short-term funding market risk-free rates. Unexpected large spikes in U.S. dollar repo rates in recent years have posed challenges to the Fed's balance sheet normalization policy, leaving open the question of what factors determine the sufficiency of reserve balances. To address this question, I build a theoretical model that explicates the impact on short-term funding rates of strategic complementarity in intraday payment timing among banks. I show that beyond the roles of post-Global Financial Crisis liquidity and capital regulations, the sufficiency of reserves depends on a complicated interaction of (1) strategic behavior in intraday interbank payment timing, and (2) demands in wholesale funding markets. A low supply of reserves causes banks to strategically hoard reserves in intraday interbank payment timing. This strategic hoarding of reserves raises financial stability concerns for the interbank payment network and disincentivizes banks from providing liquidity to short-term funding markets, impeding monetary policy transmission. Crucially, my model reveals that as reserve balances get sufficiently low, only small or moderate changes in macroeconomic conditions are enough to have strong nonlinear or even discontinuous impacts on wholesale funding rates.","PeriodicalId":299344,"journal":{"name":"ERN: Other Monetary Economics: Financial System & Institutions (Topic)","volume":"46 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-08-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"116356959","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 1

Market Freeze and Bank Capital Structure Heterogeneity 市场冻结与银行资本结构异质性

ERN: Other Monetary Economics: Financial System & Institutions (Topic) Pub Date : 2020-08-03 DOI: 10.2139/ssrn.3667175

Fenghua Song, A. Thakor

引用次数: 1

The disconnect of funding from wealth creation 资金与财富创造的脱节

ERN: Other Monetary Economics: Financial System & Institutions (Topic) Pub Date : 2020-08-01 DOI: 10.2139/ssrn.3489546

S. Savvides

引用次数: 2

Immaculate Deception: How (and Why) Bankers Still Enjoy a Global Rescue Network 完美的欺骗:银行家们如何(以及为什么)仍然享受着全球救助网络

ERN: Other Monetary Economics: Financial System & Institutions (Topic) Pub Date : 2020-07-18 DOI: 10.36687/inetwp130

E. Kane

引用次数: 2

Regulatory Capital and Incentives for Risk Model Choice under Basel 3 巴塞尔协议3下风险模型选择的监管资本和激励机制

ERN: Other Monetary Economics: Financial System & Institutions (Topic) Pub Date : 2020-07-14 DOI: 10.2139/ssrn.3651455

Fred Liu, Lars Stentoft

引用次数: 0

Liquidity Support in Financial Institutions 金融机构的流动性支持

ERN: Other Monetary Economics: Financial System & Institutions (Topic) Pub Date : 2020-07-13 DOI: 10.2139/ssrn.3650373

Falko Fecht, Egemen Genc, Yigitcan Karabulut

引用次数: 4

Macroeconomic Policy and Islamic Banks’ Lending and Investment Decisions: An Empirical Assessment of Crowding out Effect of Private Credit. 宏观经济政策与伊斯兰银行贷款和投资决策:私人信贷挤出效应的实证评估。

ERN: Other Monetary Economics: Financial System & Institutions (Topic) Pub Date : 2020-07-02 DOI: 10.2139/ssrn.3641630

M. Muzammil, D. Siddiqui

{"title":"Macroeconomic Policy and Islamic Banks’ Lending and Investment Decisions: An Empirical Assessment of Crowding out Effect of Private Credit.","authors":"M. Muzammil, D. Siddiqui","doi":"10.2139/ssrn.3641630","DOIUrl":"https://doi.org/10.2139/ssrn.3641630","url":null,"abstract":"The aim of this study is to investigate the impact of Bank specific and Macroeconomic variables on Islamic Banking financing and investment decisions. Specifically, this study sets to test the lazy banking hypothesis for Islamic Banks of Pakistan. Tightening of Monetary policy by raising policy rates crowds out private investment through its dampening effect on private credit. Data of all 4 Full fledge Islamic banks of Pakistan were taken for the period of 2006 to 2018. Banks’ lending and investment variables were taken as a dependent. That included advances and investment to deposits and assets ratios. Predictors included macroeconomic variables like inflation, GDP, Exchange Rate and Interest Rate, as well as Bank specific variables like Deposit, Size of Bank, Net interest margin, Bank spread, and Credit Risk. The results suggested that interest rates have a significant and negative effect on private lending (both Advance to deposit and advances to total assets). Investment and financing seem to be mutually exclusive. Both investment and financing have an inverse and significant effect on each other. Size has a positive and significant effect on both financing and investment. Findings also suggested both advances and investment decisions are positively and significantly affected by their lags. Higher spread represented by net interest margin significantly affects both financing and investment. Interestingly, GDP has a significant effect on investments as compared to financing. This study will help regulator, policymakers and bank management to better understand the key drivers that affect Islamic bank financing and investment decisions so they can properly structure the policies that will create an efficient, effective, and robust financial system which will ultimately benefit the economy as well.","PeriodicalId":299344,"journal":{"name":"ERN: Other Monetary Economics: Financial System & Institutions (Topic)","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-07-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130796821","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Heterogeneity in Bank Leverage: The Funding Channels of Complexity 银行杠杆的异质性:复杂的融资渠道

ERN: Other Monetary Economics: Financial System & Institutions (Topic) Pub Date : 2020-06-30 DOI: 10.2139/ssrn.3638922

M. Bussière, Baptiste Meunier, Justine Pedrono

引用次数: 1

Central Banking and Sustainable Development 中央银行与可持续发展

ERN: Other Monetary Economics: Financial System & Institutions (Topic) Pub Date : 2020-06-28 DOI: 10.2139/ssrn.3637485

Ali Nassiri Aghdam

{"title":"Central Banking and Sustainable Development","authors":"Ali Nassiri Aghdam","doi":"10.2139/ssrn.3637485","DOIUrl":"https://doi.org/10.2139/ssrn.3637485","url":null,"abstract":"Can we consider any role for central banks in sustainable development? From mainstream economics perspective, monetary policy should be neutral, and the central banks have no role to play beyond inflation targeting. In contrast, the present study argues that environmental risks and climate changes entail significant costs for the banking system and deteriorate financial stability. Central banks to fulfill their mandate and safeguard financial stability inevitably react to environmental risks. Furthermore, they have efficient instruments at their disposal, relying on they are able to internalize externalities; the instruments which fiscal policy authorities are in lack of. From this perspective, central banks have to consider environmental risks and developmental issues when designing credit policies and setting micro and macro-prudential regulations, even if they are going to commit to their traditional mandates. They need to be mandated to motivate banks to extend credit for environment-friendly projects and increase the cost of finance for brown investments. This is the essence of developmental role that central banks are adopting increasingly, especially in developing countries.","PeriodicalId":299344,"journal":{"name":"ERN: Other Monetary Economics: Financial System & Institutions (Topic)","volume":"27 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-06-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"114485939","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0