Business Commons^™

Why Aren’T Banks Loaning? An Analysis Of Over $1 Trillion In Excess Reserves In The United States Banking System After The Financial Crisis Of 2008-09, Gregory O. Orlowski

Honors Capstone Projects - All

This thesis examines the subject of the maintenance of historically unprecedented levels of excess reserves during the financial crisis of 2008-09 and beyond. The thesis first provides an overview of how the buildup of excess reserves happened within the context of the credit crunch. A review of United States' legislative intervention follows. Basic implications of the maintenance of very high excess reserve levels are then discussed, with an emphasis on how this condition has hindered economic recovery. The Federal Reserve Board’s role is explored. This is followed by a comparison of the current financial crisis to a similar crisis that …

The Effects Of Trade Openness On Per Capita Gdp During Banking Crises, Alexander J. Brozdowski

Honors Capstone Projects - All

This paper examines the real per capita gross domestic product (GDP) growth effects of country trade volume interacted with the recent occurrence of banking crisis. Panel macroeconomic data availability permits the inclusion of banking crises which have occurred worldwide over roughly the past five decades.

Linear regression results provide suggestive evidence that greater trade volume, interacted with the recent occurrence of a banking crisis, may have a large, positive effect on real per capita GDP. A 100 point openness index increase causes an average increase of approximately 2.3% per capita GDP when interacted with the presence of a banking crisis. …