scholarly journals Credit Market Competition and Liquidity Crises

2014 ◽  
Author(s):  
Elena Carletti ◽  
Agnese Leonello
Keyword(s):  
Market Competition ◽  
Credit Market ◽  
Liquidity Crises

scholarly journals Credit Market Competition and Liquidity Crises*

2018 ◽  
Vol 23 (5) ◽  
pp. 855-892 ◽  
Author(s):  
Elena Carletti ◽  
Agnese Leonello
Keyword(s):  
Market Competition ◽  
Liquidity Risk ◽  
Credit Market ◽  
The Other ◽  
Interbank Market ◽  
Positive Probability ◽  
Liquidity Shocks ◽  
Liquidity Crises ◽  
The Relationship

Abstract We develop a model where banks invest in reserves and loans, and trade loans on the interbank market to deal with liquidity shocks. Two types of equilibria emerge, depending on the degree of credit market competition and the level of aggregate liquidity risk. In one equilibrium, all banks keep enough reserves and remain solvent. In the other, some banks default with positive probability. The latter equilibrium exists when competition is weak and large liquidity shocks are unlikely. The model delivers several implications concerning the relationship between competition, aggregate credit, and welfare.

Credit Market Competition and Bank Capitalization

2021 ◽  
Author(s):  
Özlem Dursun-de Neef ◽  
Thomas Gehrig
Keyword(s):  
Market Competition ◽  
Credit Market

The Effects of Information on Credit Market Competition: Evidence from Credit Cards

2020 ◽  
Author(s):  
C. Fritz Foley ◽  
Agustin Hurtado ◽  
Andres Liberman ◽  
Alberto Sepulveda
Keyword(s):  
Market Competition ◽  
Credit Cards ◽  
Credit Market

scholarly journals Personal Bankruptcy and Credit Market Competition

2010 ◽  
Vol 65 (2) ◽  
pp. 655-686 ◽  
Author(s):  
ASTRID A. DICK ◽  
ANDREAS LEHNERT
Keyword(s):  
Market Competition ◽  
Credit Market ◽  
Personal Bankruptcy
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