• 1 Introduction
  • 2 Data
  • 3 Methodology and auxiliary results
  • 3.1 A microeconomic measure of nancial distress
  • 3.2 The macroeconomic model
  • 3.3 The integrated micro-macro model
  • 3.4 Periodicity of distress
  • 4 Results
  • 4.1 The aggregate response
  • 4.2 The importance of micro aspects and non-linearities
  • 4.3 Is it the data?
  • 4.4 Dissecting the evidence: Types of distress
  • 4.5 Banking sector capitalization and the resilience to shocks
  • 5 Conclusion