global liquidity creation by key central banks and, second, an ex-ante global saving glut, brought about by the entry of a … adequacy requirements, privately rational but socially inefficient disintermediation, and competitive international de-regulation … England’s liquidity management, regulatory failure of the FSA, an inadequate deposit insurance arrangement and deficient …

subject to a liquidity regulation that is very similar to Basel III’s Liquidity Coverage Ratio (LCR). We find that most banks …We investigate the liquidity management of 62 Dutch banks between January 2004 and March 2010, when these banks were … the regulation. More solvent banks hold fewer liquid assets against their stock of liquid liabilities, suggesting an …

This article provides empirical evidence of behavioural responses by banks in the recent crisis. Using firm … adjustments have been pro-cyclical in the crisis, while responses became increasingly dependent across banks and concentrated on … certain market segments. Banks reacted less according to a pecking order, as an indication of reduced flexibility in their …

The Net Stable Funding Ratio (NSFR) is a new Basel III liquidity requirement designed to limit funding risk arising … banks in 15 countries. Banks below the ratio need to increase stable sources of funding and to reduce assets requiring … 40% of their year-end 2009 values. Universal banks with diversified funding sources and high trading assets are penalized …

We develop a dynamic model to assess the effects of liquidity and leverage requirements on banks' insolvency risk. The … model features endogenous capital structure, liquid asset holdings, payout, and default decisions. In the model, banks face …. Using the model, we show that liquidity requirements have no long-run effects on default risk but may increase it in the …

We develop a dynamic model of banking to assess the effects of liquidity and leverage requirements on banks' insolvency … risk. In this model, banks face taxation, flotation costs of securities, and default costs and maximize shareholder value … regulatory requirements. Our analytic characterization of the bank policy choices shows that imposing solely liquidity …

Dutch banks were put under heavy strains early in the global downturn and have comparatively weak financial buffers to … adverse shocks. Banks are very large relative to the size of the domestic economy, have sizeable cross-border exposures and … taxpayer and the regulator’s tools available to reduce risks should be expanded. In particular, banks should set aside …

banking sector is sufficiently capitalised in the short term, banks are deleveraging by cutting down their dependence on cross … ban on foreign currency lending for mortgages, future uncertainties about parent banks’ funding and undermined creditors … while weakening banks’ solvency. The mid-December 2011 agreement between the government and the banking sector was a welcome …

, not defined in a market, but by the collateral frameworks and interest rate policies of central banks. Using the … on financial markets and the wider economy. They can, for example, bias the private provision of real liquidity and …