Could making banks hold only liquid assets induce bank runs?
نویسنده
چکیده
Restrictions placed on bank portfolios are analyzed in a banking model designed to capture the role of checking accounts in facilitating transactions. Forcing banks to hold only liquid assets creates the incentive for liquidity-based runs. Even when a run does not occur, welfare is reduced as a result of overinvestment in the liquid asset. & 2010 Elsevier B.V. All rights reserved.
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تاریخ انتشار 2010