Bertolai, Jefferson; Cavalcanti, Ricardo; Monteiro, Paulo - In: Economic Theory 57 (2014) 2, pp. 223-252
In this paper, we revisit the issue of bank fragility in the Diamond and Dybvig (J Polit Econ 91:401–419, <CitationRef CitationID="CR5">1983</CitationRef>) model with sequential service and finite traders. We provide a precise condition under which banks are susceptible to a run when the return on investment is low, and we show that...</citationref>
