This Week in Financial Regulation, November 19th

This Week in Financial Regulation, November 19th

News and Commentary

Increasingly loans are being issued from so-called shadow banks, institutions that are not regulated like banks but still have long term assets and short term liabilities.  This growth may have crowded out safer financial alternatives.


New Research

A paper in the NBER argues that credit booms tend to inflate asset prices, as measured by the return on equities.

Another NBER paper argues that in an age of ultra-low interest rates monetary policymakers should be more hawkish than they otherwise would, to prevent so-called leveraged payouts.

The third NBER paper for the week develops a novel model to examine the relationship between endogenous leverage and default rates.

An article from the New York Fed develops a Credit Insecurity Index to measure rates of credit access across the country.

An article from JP Morgan Chase Institute employs administrative banking data to measure people’s month-to-month income fluctuations.

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By |2019-12-12T06:48:29-08:00November 19th, 2019|Blog, Financial Regulation|