Bank Liquidity Creation and Financial Crises
- Allen Berger, Moore School of Business, University of South Carolina, Columbia, SC, USA
- Christa Bouwman, Texas A&M University, College Station, TX, and Wharton Financial Institutions Center, Philadelphia, PA, USA
Bank Liquidity Creation and Financial Crises: New Perspectives delivers a consistent and logical presentation of liquidity creation, connecting regulatory measures with this novel benchmarking tool.
Authors Allen Berger and Christa Bouwman examine ways to measure liquidity creation, how much liquidity banks create in different countries, differences among five financial crises that occurred over the past three decades and normal times, the effects of monetary policy (including interest rate policy, lender of last resort, and quantitative easing), the effects of capital, the effects of regulatory interventions, and the effects of bailouts.
Readers need no advanced, specialized academic knowledge to understand the concept of liquidity creation. Narrowing the gap between the "academic world," focused on theories, and the "practitioner world," dedicated to solving real-world problems, this book offers a new tool for evaluating a bankâs performance over time and comparing it to its peer group.
Upper-division undergraduates, graduate students, and professionals worldwide working in banking, financial intermediation, and regulation, especially in respect to financial crises