The Resource The use of blanket guarantees in banking crises, prepared by Luc Laeven and Fabian Valencia

The use of blanket guarantees in banking crises, prepared by Luc Laeven and Fabian Valencia

Label
The use of blanket guarantees in banking crises
Title
The use of blanket guarantees in banking crises
Statement of responsibility
prepared by Luc Laeven and Fabian Valencia
Creator
Contributor
Author
Subject
Language
eng
Summary
In episodes of significant banking distress or perceived systemic risk to the financial system, policymakers have often opted for issuing blanket guarantees on bank liabilities to stop or avoid widespread bank runs. In theory, blanket guarantees can prevent bank runs if they are credible. However, guarantee could add substantial fiscal costs to bank restructuring programs and may increase moral hazard going forward. Using a sample of 42 episodes of banking crises, this paper finds that blanket guarantees are successful in reducing liquidity pressures on banks arising from deposit withdrawals. However, banks' foreign liabilities appear virtually irresponsive to blanket guarantees. Furthermore, guarantees tend to be fiscally costly, though this positive association arises in large part because guarantees tend to be employed in conjunction with extensive liquidity support and when crises are severe
Member of
Cataloging source
CUS
Dewey number
332.1
Illustrations
illustrations
Index
no index present
LC call number
HG3810
Literary form
non fiction
Nature of contents
  • dictionaries
  • bibliography
Series statement
IMF working paper
Series volume
WP/08/250
Label
The use of blanket guarantees in banking crises, prepared by Luc Laeven and Fabian Valencia
Publication
Bibliography note
Includes bibliographical references (pages 41-43)
http://library.link/vocab/branchCode
  • net
Carrier category
online resource
Carrier category code
cr
Carrier MARC source
rdacarrier
Color
multicolored
Content category
text
Content type code
txt
Content type MARC source
rdacontent
Control code
ocn460638675
Dimensions
unknown
Extent
1 online resource (43 pages)
Form of item
online
Isbn
9781451915617
Media category
computer
Media MARC source
rdamedia
Media type code
c
Other control number
10.5089/9781451915617.001
Other physical details
color illustrations
http://library.link/vocab/recordID
.b37140930
Sound
unknown sound
Specific material designation
remote
System control number
  • (OCoLC)460638675
  • imf1451915616

Library Locations

    • Deakin University Library - Geelong Waurn Ponds CampusBorrow it
      75 Pigdons Road, Waurn Ponds, Victoria, 3216, AU
      -38.195656 144.304955
Processing Feedback ...