Chatterji, Shurojit (contributor); … - 2008
.
However, as Diamond and Dybvig point out, when aggregate taste shocks are
common knowledge, a demand deposit contract with an … management of the bank via a takeover by
a another bank or nationalization as in the current crisis involving Northern
Rock. As … devoted to contagion issues. The …nal
section concludes.
1.1 Related literature
Although to the best of our knowledge, both …