Social and Behavioral Sciences Commons^™

Germany: Ikb Deutsche Industriebank Emergency Liquidity Program, 2008, Ayodeji George, Sophia Alden

Journal of Financial Crises

In the summer of 2007, IKB Deutsche Industriebank (IKB) faced heavy losses owing to the liquidity support it had provided on commercial paper issued by Rhineland Funding Capital Corporation, its off-balance-sheet vehicle, which held distressed collateralized debt obligations backed by US subprime mortgages. In July 2007, authorities became aware that IKB itself had lost access to liquidity from Deutsche Bank and other funding partners. Publicly owned development bank Kreditanstalt für Wiederaufbau (KfW) held a 38% stake in IKB, exposing it to potentially heavy losses in the event of an IKB failure. KfW, German financial authorities, and German banks pursued a …

Cyprus: Laiki Bank Ad Hoc Emergency Liquidity Assistance, 2011, Stella Schaefer-Brown

Journal of Financial Crises

Following the European Union’s decision to restructure Greek debt in October 2011, Laiki Bank’s depositors began to withdraw their funds from the bank in growing numbers after it reported that its portfolio of Greek government bonds had lost EUR 2.3 billion in value. Beginning October 2011 and lasting until the bank’s resolution in 2013, Laiki Bank requested and received emergency liquidity assistance (ELA) from the Central Bank of Cyprus (CBC) so that the bank could continue to fund itself as depositors withdrew their funds. In June 2012, Cypriot authorities recapitalized Laiki Bank, and the government became an 84% shareholder. From …

Denmark: Roskilde Bank Emergency Liquidity Program, 2008, Bailey Decker

Journal of Financial Crises

Roskilde Bank A/S (Roskilde) was the eighth-largest bank in Denmark at the time of the Global Financial Crisis, with approximately 43 billion Danish kroner (DKK; USD 9.1 billion) in consolidated assets as of March 2008. Roskilde had considerable exposure to real estate and construction firms, prompting ratings downgrades and larger write-downs than expected in July 2008. On July 10, 2008, Roskilde asked for liquidity assistance from the Danish central bank, Danmarks Nationalbank (DNB). Later that day, DNB and the banking sector’s self-insurance group, the Private Contingency Association (PCA), announced emergency liquidity assistance to Roskilde in the form of an unlimited …

Canada: Canadian Commercial Bank Emergency Liquidity Program, 1985, Adam Keanie, Léo Brougher

Journal of Financial Crises

In March 1985, the Canadian Commercial Bank (CCB)—Canada’s 10th largest bank, with CAD 2.9 billion in assets—reported to the Office of the Inspector General of Banks (OIGB) and the Bank of Canada (BoC) that CCB would not survive owing to large losses on its United States energy loans portfolio. In response, the BoC assembled an emergency CAD 255 million rescue package, secured through contributions from a consortium composed of the federal government, the provincial government of Alberta, the Canadian Deposit Insurance Corporation, and Canada’s six largest banks. Despite the BoC’s reassurances, including a public announcement promising virtually unlimited liquidity support, …

Brazil: Banco Btg Pactual Emergency Liquidity Program, 2015, Vincient Arnold

Journal of Financial Crises

On November 25, 2015, André Esteves, then CEO of Banco BTG Pactual, a large Brazilian investment bank, was arrested by Brazilian authorities in connection with suspected involvement in a corruption scandal. Although the arrest did not involve BTG in any capacity and Esteves was later acquitted, the company’s stock quickly collapsed and depositors and other creditors rushed to reduce their exposures to the company. Depositors withdrew certificates of bank deposits, which BTG relied on to fund its daily operations. By November 27, BTG shares had fallen 26%. On December 2, the top seven shareholders of BTG took control of the …

Ad Hoc Emergency Liquidity Programs In The 21st Century, Steven Kelly, Vincient Arnold, Greg Feldberg, Andrew Metrick

Journal of Financial Crises

This paper surveys 22 case studies of 21st century instances when financial crisis-fighters implemented ad hoc emergency liquidity (AHEL) interventions, interventions designed to provide liquidity to a troubled institution that the authorities believe is systemically important. While emergency liquidity support is often introduced with the real or communicated intention of preventing illiquidity from leading to insolvency, the liquidity crisis should instead be viewed as the manifestation of the market’s assessing the firm as nonviable as a going concern. For that reason, authorities should provide AHEL assistance only to institutions that they have deemed viable or that they have committed to …

Fighting "Fear Itself": The Bank Holiday Of March 1933, Matthew Jaremski, Gary Richardson, Angela Vossmeyer

Journal of Financial Crises

In the month preceding Franklin Roosevelt’s inauguration, a panic overwhelmed the U.S. banking system. Immediately after assuming office, Roosevelt declared a nationwide bank holiday and vowed to reopen only sound banks. Five days after the holiday ended, nearly 11,000 of the nation's more than 18,000 commercial banks had reopened. Nearly 4,000 never reopened or had to be reorganized. The holiday is often credited with helping reestablish financial stability, but little is known about the mechanisms underlying the reopening process and the way in which payment systems were restored. We detail the process of reopening the banking system using narrative records …

Sustainable Cash Flow Management Strategies For Small To Medium-Sized Service Businesses, Melody Gray

Walden Dissertations and Doctoral Studies

Nearly 50% of small to medium-sized enterprises (SMEs) fail within five years, resulting in financial losses for business owners and reduced employment opportunities. Entrepreneurs care about this issue because poor cash flow management is a major contributor to business failure, threatening economic growth and job stability. Grounded in working capital management, the purpose of this qualitative, multiple case study is to explore successful cash flow management strategies for service industry SME owners to sustain free cash flow beyond 5 years. The study included four SME owner participants in the Dallas/Fort Worth metroplex who successfully started and sustained the business beyond …

Who Needs More Than 1 Water Bottle? Apparently, Everyone., Jazmyn Weddig

Honors Theses

This research investigates the interplay between a good’s functional durability, and its collectability, focusing on the Stanley Quencher water bottle market as a case in point, which has recently gained widespread consumer interest. It examines the economic and psychological factors driving consumer behavior and the market dynamics associated with durable goods that become collectibles. This paper begins with a comprehensive analysis of Stanley and the history of the company to provide a better understanding of their evolving marketing strategies. This paper takes special interest in collecting behavior, planned obsolescence, market structures and economic utility to help explain consumer behavior within …

Navigating Work-Life Balance: A Study Of School Educators In Challenging Contexts, Laurent Yacoub, Sara Abou Ibrahim, Nadine Osman, Zubaida Daye, Nada Jabbour Al Maalouf

Arab Economic and Business Journal

Work-life balance has become an essential aspect of employees’ fundamental rights provided by the workplace in almost every industry. While WLB is widely recognized for enhancing employees’ productivity, motivation, and consequently, the overall success of the organization, limited research has focused on its role in the educational sector, particularly in Lebanon. In the educational sector, this concept is particularly important since this sector is known for the high amounts of workload during and after school hours. This study explores the impact of work-life balance on job satisfaction among both Lebanese and non-Lebanese teachers in private and public schools in Lebanon, …

Health Crisis And Currency Risk: Fresh Evidence From New Data Sets, Afees A. Salisu, Dinci J. Penzin, Yinka S. Hammed

Bulletin of Monetary Economics and Banking

With the aid of a method of predictability analysis that involves a feasible quasigeneralized least squares estimator, we examine the predictive power associated with the newly computed COVID-19 indices, which are disaggregated into six indices for currency market risks (realized volatility of exchange rate). Our sample size covers the period between December 31, 2019, and December 28, 2021. We note mixed outcomes for the major currency markets considered. On average, while the health crisis seems to have heightened the risks associated with Pounds Sterling, Australian Dollar and Canadian Dollar against USD, it exerts a moderating effect on the Euro, Yen …

Potential Implications Of The Pandemic On Medium Term Productivity, Pakasa Bary, Pandu Kuntoaji, Dwi F. Multiretno, Igp Wira Kusuma

Bulletin of Monetary Economics and Banking

This study analyses the potential medium-term impact of the pandemic to productivity and macroeconomy. It simulates the impact of the pandemic on productivity, labor and macroeconomic dynamics. The simulation is carried out using simple variations of real business cycle models, with shock on consumption-leisure preference which are endogenously responded by technology. Simulation results are consistent with macroeconomic dynamics observed during the pandemic and therefore may imply medium term prospects. In addition, permanent application of technology to replace pandemic-related labour restrictions is superior for medium-term growth.

Exit Policy, Liquidity Normalization, And Lts Implications On Central Bank Policy Transmission, Alexander Lubis, Rangga Pratama, Merlin Dwi Yunaniar, Wahyu Agung Nugroho, Dian Prima Susiandri

Bulletin of Monetary Economics and Banking

The objective of this study is to determine the implications for the effectiveness of monetary policy transmission by examining the impact of specific policy toolkits in both Advanced Economy (AE) and Emerging Market (EM) countries during crises and during normalization (exit policy) upon crisis resolution. The analysis conducted using the VECM method on a number of AE and EM countries demonstrates that the response of bank interest rates (credit) is consistent with changes in policy rates and substantially diverges from Quantitative Easing (QE) policy in both the short and long term. However, the efficacy of monetary policy transmission appears to …

How Do Life And Non-Life Insurance Affect Financial Inclusion? New Empirical Evidence From A Cross-Country Analysis, Shen Yap, Huishan Lee, Ping Xin Liew

Bulletin of Monetary Economics and Banking

This paper examines the influence of life and non-life insurance on financial inclusion in 79 countries during 2019. Financial inclusion indices were calculated using the Euclidean distance approach. The study reveals that the financial inclusion level is considerably impacted by the integration of insurance indicators. In over 64% of the countries, the financial inclusiveness is reduced as a result of the incorporation of life insurance. In contrast, the financial inclusiveness of nearly 47% of the countries was enhanced by the inclusion of non-life insurance. The paper emphasizes the necessity for policymakers to take insurance into account as a critical element …

Fdi Spillovers And Wage Gaps In Indonesia, Mohammad Zeqi Yasin, Pyan Putro Surya Amin Muchtar, Nur Arifin

Bulletin of Monetary Economics and Banking

Our objective is to evaluate the competitiveness of local firms by determining whether the dynamic wage spillover model devised by Tomohara and Takii (2011) consistently captures subsectoral dynamics. We identify two subsectors that are witnessing positive spillovers using the Indonesian firm-level dataset. Nevertheless, our quantitative analysis demonstrates inconsistencies, with competitive subsectors contributing to wage disparities at a higher rate than uncompetitive firms. In other words, wage inequalities between foreign and local firms are not effectively reduced by competitive firms. In order to improve the performance of local firms and enable them to more effectively compete with foreign firms in labor …

Soft-Floor Auctions: Harnessing Regret To Improve Efficiency And Revenue, Dirk Bergemann, Kevin Breuer, Peter Cramton, Jack Hirsch, Yero S. Ndiaye, Axel Ockenfels

Cowles Foundation Discussion Papers

A soft-floor auction asks bidders to accept an opening price to participate in an ascending auction. If no bidder accepts, lower bids are considered using first-price rules. Soft floors are common despite being irrelevant with standard assumptions. When bidders regret losing, soft-floor auctions are more efficient and profitable than standard optimal auctions. Revenue increases as bidders are inclined to accept the opening price to compete in a regret-free ascending auction. Efficiency is improved since having a soft floor allows for a lower hard reserve price, reducing the frequency of no sale. Theory and experiment confirm these motivations from practice.

How The H-2b Visa Lottery Helped Businesses During Covid, Parag Mahajan

Upjohn Institute Policy and Research Briefs

No abstract provided.

“Essential” Migrants: Evidence From The 2020 H-2b Visa Lottery, Parag Mahajan

Upjohn Institute Working Papers

I study how access to foreign-born workers impacts firms and local economics in times of acute crisis. The 2020 H-2B visa lottery randomly gave some U.S. firms the chance to hire low-wage, migrant workers during the height of the COVID-19 pandemic. Using administrative data across three government agencies, I find that access to H-2B workers led to decreased business closures, increased revenues, increased payroll, and increased employment in 2020. I also find suggestive evidence that these effects spilled over to non-participant firms within the same county.

Cse1, Cse2, Fredholm, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Laski, K. (1981). Review of Essays on the theory of joint production by L. L. Pasinetti. Journal of Economic Literature, 19(4), 1579–1581.

• A JSTOR information page for the Laski book review (December 1981)

• A letter from Ann Newton requesting a referee report for a paper (July 9, 2007)

• A blank referee's report form (Ms. no: 2475) from the Cambridge Journal of Economics

• The unpublished paper "The weakness of the empirical labour theory of value: Evidence from the supply and use tables of the Greek economy" by Theodore Mariolis and George …

Navigating Modernity: Political And Economic Shifts In The Nineteenth Cenutry, Austin Delsontro, Andrew Cox

Chronicles: Journal Of History

No abstract provided.

Essays On Monetary Economics, Joseph Kachovec

Arts & Sciences Graduate Student Theses and Dissertations

Chapter I builds a quantitative New-Keynesian model with a central bank balance sheet, fiscal policy, and a representative financial intermediary facing uncertainty to show how interest rate policy has an additional counter-cyclical fiscal impact via central bank income when reserves are abundant as opposed to scarce. A counterfactual analysis between the US economies with small and large central bank balance sheets of 2005 and 2018 shows that in response to demand, supply, and government spending shocks, the real effects of identical interest rate changes are amplified in the abundant reserves economy. In response to a 1% preference shock, cumulative fluctuations …

Microfinance In Latin America: Sustainability, Growth, And Efficiency, Katelyn M. Hoidal

Global Tides

The subsequent research addresses the question: Within populous Latin American countries (Ecuador, Mexico, Panama, Argentina, Chile, and Peru), are microfinance institutions associated with differences in GDP and household consumption equally between 2010 and 2018? Which do they have a stronger correlation with? The essence of this question seeks to answer whether the correlation between MFIs and wealth indicators carries over to a national level or merely persists at an individual level. This research has been informed and influenced by literature and studies conducted across South Asia, Africa, and Latin America focusing on the research of Abdelkader, Naveeda, Annim, Campbell, Armendáriz, …

Fiscal Policy In A Growth Context, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Lautzenheiser, M., & Yasar, Y. (2006). Circulation and effective demand: A comment on Nell. Cambridge Journal of Economics, 30(4), 651–656.

• Lecture notes titled Economic policy in a growth context: A synthesis of Keynes and Harrod (2001-05-30)

• Notes on Harrod-Godley synthesis [Handwritten notes] (2005-11-30)

• Concluding remarks on Economic policy in a growth context [Handwritten notes] (2005-11-30)

• Keynes & Harrod (2005-10-17, handwritten notes)

• Graphs modeling government spending on growth of output [Graphs] (undated)

• Corrections (2005-11-30, handwritten notes)

• Email exchange regarding the government sector in the Shaikh-Keynes-Harrod model (2005-11-30, 2005-12-01)

• Harrod dynamics [Handwritten notes] (undated)

• Notes on Economic policy …

  ---

  Go to article

Capacity Utilization, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Kalman filter cap utilization (2005-05-26, handwritten notes)

• Handwritten notes on Harvey's structural time series model [Handwritten notes] (undated)

• Regression output for D(LNYRMFG) with related handwritten notes (2005-04-25)

• Handwritten notes on ARDL models [Handwritten notes] (undated)

• Capacity utilization model discussing AR processes [Handwritten notes] (undated)

• Handwritten notes comparing Kalman filter, ARDL, and OLS models [Handwritten notes] (undated)

• Handwritten notes on time series model equations [Handwritten notes] (undated)

• Handwritten notes on error correction models [Handwritten notes] (undated)

• Handwritten notes discussing ARIMA and ECM [Handwritten notes] (undated)

• Handwritten notes discussing AR(3) and MA(3) models [Handwritten notes] (undated)

• One general cap. …

  ---

  Go to article

Capacity Utilization Paper, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Handwritten notes titled Capacity Utilization, discussing estimation using AIC and SBC (2004-10)

• Handwritten notes titled Time Path of Capital-Capacity Ratio (2005-04-16)

• Handwritten notes with equations related to capital, growth rates, and output (2005)

• Excerpt from a text titled Appendix 1. Principal structural time series components and models, with handwritten notes (2005)

• Handwritten notes discussing Pesaran (1997) and related equations (2005-04-03)

• Handwritten notes discussing cointegration and I(0)/I(1) variables, citing Enders (1995) (2005-02-15)

• Handwritten notes titled Cointegration, discussing ARDL models (2005-04-11)

• Handwritten notes titled Issue, discussing testing procedures for I(0)/I(1) variables and ECM (2005-04-18)

• Handwritten …

  ---

  Go to article

Metro Economica, Harrod Paper Reports Round 2, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Shaikh, A. (2009). Economic policy in a growth context: A classical synthesis of Keynes and Harrod. Metroeconomica, 60(3), 455–494.

• Hicks-Harrod adj in difference form (2007-01-28, handwritten notes)

• Handwritten diagrams and notes [Handwritten diagrams/notes] (2008-06-01)

• Growth model diagrams [Diagrams] (undated)

• Handwritten notes comparing growth equations [Handwritten notes] (undated)

• Handwritten notes comparing Hicks-Harrod vs Sen-Harrod models [Handwritten notes] (2008-05-30)

• Notation changed (undated, handwritten notes discussing Sen’s algebra)

• Handwritten notes comparing “End of Period Stock” vs “Beg of Period Stock” calculations [Handwritten notes] (undated)

• Handwritten notes comparing Hicks-Harrod differential equation form vs HA difference form of reduced form model …

  ---

  Go to article

On Economic Policy In A Growth Context, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Cover letter to Neri Salvadori regarding revisions to Economic policy in a growth context (2007-01-27)

• Excel sheet calculations for Appendix A of Harrod paper (2008-06-02)

• Hicks-Harrod adj in difference equation form (2008-06-01, handwritten notes)

• Handwritten notes comparing Hicks-Harrod and Harrod difference forms (2008-05, handwritten notes)

• Pure stability model – Sen (2008-05, handwritten notes)

• Figures showing simulation response to a drop in the savings rate [Figures] (undated)

• Copy of the paper Economic policy in a growth context [Document] (undated)

• Comments on Harrod policy paper from Metroeconomica (2006-12-30, notes)

Harrod Policy Paper Corrections, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Email from Paul Davidson discussing the government sector in Shaikh’s Keynes-Harrod model (2005-12-01)

• Email from Neri Salvadori regarding a decision on Shaikh’s submission titled Economic policy in a growth context: A synthesis of Keynes and Harrod, requesting revisions (undated)

• Critical referee report on Shaikh’s submission [Referee report] (undated)

• Referee report by Carlo Panico recommending acceptance with revisions (2006-04-02)

• Notes from Lance Taylor concerning the Harrod/Shaikh paper (2005-12-02)

• Handwritten notes comparing the paradox of thrift and the paradox of growth [Handwritten notes] (undated)

• Excerpt from Kurz, H.-D., & Salvadori, N. (2006). Endogenous growth in a stylised “classical” …

  ---

  Go to article

Macro Dynamics, Savings Rate, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Several graphs illustrating macroeconomic shocks [Graphs] (2007-01-28)

• Handwritten notes on macroeconomic dynamics, stability conditions, and equations [Handwritten notes] (2007-01-28)

• Classical and PK simulation (2007-01-28, spreadsheet)

• Structure of heterodox dynamics (2007-01-26, handwritten notes)

• Macro notes (2007-01-25, handwritten notes)

• Handwritten notes on savings [Handwritten notes] (undated)

• EJN policy Harrod paper (2005-11-30, handwritten notes)

• Summary of Ruggles and Ruggles on savings rates (2007-01-07, document including graphs) — based on Nancy & Ruggles, R. (1992). Household and enterprise saving and capital formation in the United States: A market transactions view. Review of Income and Wealth, 38(2), 119–163.

• Miscellaneous handwritten notes …

  ---

  Go to article

Harrod Text 2.06, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Outline for a lecture based on the paper Economic policy in a growth context: A synthesis of Keynes and Harrod (2005-10-17)

• Handwritten notes on growth theories [Handwritten notes] (2006-05-25)

• Notes on Harrod-Godley synthesis [Handwritten notes] (undated)

• Concluding remarks on Economic policy in a growth context discussing Robinson’s objection and employment issues [Handwritten notes] (2005-11-30)