Are Risky Banks Rationed by Corporate Depositors?
27. November 2018
Am Dienstag, den 20. November 2018, ist Dr. Björn Imbierowicz mit einem Vortrag zum Thema
"Are Risky Banks Rationed by Corporate Depositors?"
zu Gast im Forschungsseminar "Quantitative Wirtschaftsforschung".
Herr Dr. Imbierowicz ist Volkswirt am Research Centre der Deutschen Bundesbank.
Abstract:
We analyze auctions of unsecured money market deposits of firms to banks via a FinTech intermediary. In each auction, only the firm observes the banks and their interest rate bids and decides where to deposit its funds. We observe that deposit interest rate bids increase monotonically with banks’ risk and that firms in general prefer higher deposit interest rates. However, our results show that the selection of firms of where to deposit is concave in bid interest rate in line with the notion of credit rationing in Stiglitz and Weiss (1981). We find this confirmed on the intensive as well as on the extensive margin. Risky banks eventually exit the market, and re-enter when their risk decreases again in the long-term. Relatedly, we observe that risky banks exit when the interest rate they have to offer increases above the interest rate charged by the central bank. This has important implications for banks’ access to unsecured corporate funding, central bank liquidity provision and the understanding of deposit markets as well as Fintech in general.
Wir freuen uns auf Ihre Teilnahme und eine anregende Diskussion.
Forschungsseminar "Quantitative Wirtschaftsforschung"
Dienstags, 12:15 s.t. - 13:45 Uhr
Von-Melle-Park 5
Raum 2095/2197 (Aufgänge A und B, 2. OG)
Vortragssprache ist Englisch