We estimate the effects of the liquidity coverage ratio (LCR), a liquidity requirement for banks, on the tenders that … banks submit in Term Deposit Facility operations, a Federal Reserve tool created to manage the quantity of bank reserves. We … identify these effects using variation in LCR requirements across banks and a change over time that allowed term deposits to …

Non-banks originated about half of all mortgages in 2016, and 75% of mortgages insured by the FHA or VA. Both shares … are vulnerable to liquidity pressures in both their loan origination and servicing activities, and we document that this … sector in aggregate appears to have minimal resources to bring to bear in a stress scenario. We show how the same liquidity …

improve financial stability. Nevertheless, large CCPs are by nature concentrated and interconnected with major global banks …. Moreover, although they mitigate credit risk, CCPs create liquidity risks, because they rely on participants to provide cash …. Such requirements increase with both market volatility and default; consequently, CCP liquidity needs are inherently …

and run risk. Banks choose between liquid and illiquid assets on the asset side, and between deposits and equity on the … as to provide liquidity and risk-sharing services to the real economy. Our modifications create wedges in the asset and … joint implementation of a capital and a liquidity regulation …

The convention in calculating trading costs in corporate bond markets is to assume that dealers provide liquidity to … provide liquidity in corporate bond markets, and thus, average bid-ask spreads underestimate trading costs that customers … demanding liquidity pay. Compared with periods before the 2008 financial crisis, substantial amounts of liquidity provision have …

We investigate how liquidity regulations affect banks by examining a dormant monetary policy tool that functions as a … credit supply. Liquidity requirements also depress banks' profitability, though some of the regulatory costs are passed on to … liability holders. We document a prudential benefit of liquidity requirements by showing that banks subject to a higher …

The liquidity strains that contributed to the meltdown of the mortgage market in the Global Financial Crisis (GFC) re … estate investment trusts (REITs) on short-term funding amplified market disruption in March 2020. However, other liquidity …

improving financial stability. But, large CCPs are concentrated and interconnected with major global banks. Moreover, although … they mitigate credit risk, CCPs create liquidity risks, because they require participants to provide cash. Such … requirements increase with market volatility; consequently, CCP liquidity needs are inherently procyclical. This procyclicality …

We study how competition between banks and non-banks affects lending standards. Banks have private information about … some borrowers and are subject to capital requirements to mitigate risk-taking incentives from deposit insurance. Non-banks … in bank capital requirements. Intuitively, higher capital requirements raise banks’ skin in the game and screening out …

small banks, and (2) that this relationship has weakened with the advent of stronger liquidity regulation. Our results … common measures of bank liquidity. Consistent with our model, our bank-level empirical analysis of these capital-liquidity … tradeoffs show (1) that bank liquidity measures have a strong and negative relationship to its capital ratio for both large and …