Papers

Tags

RESET

Tags

Data Regulation in Credit Markets

Yan Xiong , Uday Rajan   Jan 26,2025

Working Paper No.00148-00

We study a credit market in which lending decisions depend on a borrower's digital profile, and the borrower can manipulate... Read More

Financial Restructuring and Resolution of Banks

Denis Gromb (in memoriam) Jean-Edouard Colliard   Mar 22,2024

Working Paper No.00065-01

How do resolution frameworks affect the private restructuring of distressed banks? We model a bank’s shareholders and creditors negotiating a... Read More

Rules versus Disclosure: Prudential Regulation and Market Discipline

Satoshi Fukuda, Daniel Neuhann William Fuchs   Nov 22,2024

Working Paper No.00145-00

We study the joint design of two prominent micro-prudential policy tools: bank regulation that enforces operational standards via rules,... Read More

Smooth versus Harsh Regulatory Interventions and Policy Equivalence

Linda Schilling   Aug 03,2023

Working Paper No.00123-00

Policy makers have developed different forms of policy intervention for stopping, or preventing runs on financial firms. This paper... Read More

Designing Stress Scenarios

Thomas Philippon, Cecilia Parlatore   Sep 25,2023

Working Paper No.00074-01

We study the optimal design of stress scenarios. A principal manages the unknown risk exposures of agents by asking them to... Read More

A Theory of Liquidity Spillover Between Bond and CDS Markets

Batchimeg Sambalaibat   Jul 07,2021

Working Paper No.00072-00

I build a search model of bond and credit default swap (CDS) markets with endogenous investor participation and show that... Read More

Model Secrecy and Stress Tests (JF forthcoming)

Basil Williams Yaron Leitner   Nov 17,2021

Working Paper No.00061-01

Should regulators reveal the models they use to stress test banks? In our setting, revealing leads to gaming, but secrecy... Read More

Published: Journal of Finance, 2023, 78(2), 1055-1095

Open Banking: Credit Market Competition When Borrowers Own the Data

Jing Huang,Jidong Zhou, Zhiguo He   Nov 24,2020

Working Paper No.00068-00

Open banking facilitates data sharing consented by customers who generate the data, with a regulatory goal of promoting competition between... Read More

Regulating a model (JFE, forthcoming)

Bilge Yilmaz,Bilge Yilmaz, Yaron Leitner   Nov 21,2017

Working Paper No.00016-00

We study a situation in which a regulator relies on risk models that banks produce in order to regulate them.... Read More

Published: Journal of Financial Economics, 2019, 131(2), 251-268