. The aim is to highlight the “time-space dynamics” of contagion, i.e., if the CDS spread of bank i depends on the CDS …. Moreover, we analyse the role of the European Central Bank in managing contagion risk. We find that monetary policy has been … propose a new bank systemic risk measure to consider the two components of systemic risk: cross-sectional and time dimension …

We develop a theoretical model examining the financial stability policy of a central bank serving as both the lender of … last resort and the regulator of the financial system. The model accommodates the possibility of financial contagion … the existence of a substitution effect between reducing the expected scope of a central bank's assistance to an …