Finance Commons^™

Ireland: Anglo Irish Bank Emergency Liquidity Assistance, 2009, Salil Gupta, Mahdi Khairallah, Nik Adlina Nik Moktar

Journal of Financial Crises

At the height of the Global Financial Crisis in September 2008, Anglo Irish Bank (Anglo), one of Ireland’s six core banks, specializing in commercial and residential real estate with EUR 101.3 billion in assets, faced severe losses. Irish authorities announced a blanket deposit and liability guarantee for the six banks including Anglo. At the same time, Anglo was offered standby liquidity facilities of EUR 3 billion from the Central Bank of Ireland (CBI) and EUR 10 billion from the two largest Irish commercial banks, which were not drawn on at the time. Anglo was nationalized in January 2009, as deposit …

Indonesia: Bank Century Emergency Liquidity Program, 2008, Vincient Arnold

Journal of Financial Crises

By the autumn of 2008, the effects of the Global Financial Crisis of 2007–2009 had struck Indonesia, as liquidity in interbank markets dried up, capital flows reversed, and economic growth slowed. On October 30, 2008, Bank Indonesia—the central bank of Indonesia—passed Regulation No. 10/26/PBI/2008, establishing a Short-Term Funding Facility for Commercial Banks (SFF). On October 31, 2008, the capital adequacy ratio of Bank Century, a relatively small Indonesian bank, was –3.35%. On November 14, 2008, after Bank Century failed to conduct payment clearing the day before, Bank Indonesia approved Bank Century for access to the SFF and began disbursements of …

Iceland: Kaupthing Emergency Liquidity Program, 2008, Sophia Alden, Léo Brougher

Journal of Financial Crises

Following the privatization of Iceland’s state-owned banks between 1998 and 2003, the three largest banks in Iceland—Glitnir, Landsbanki, and Kaupthing—grew rapidly, with consolidated assets increasing from 100% of Iceland’s GDP in 2004 to nearly 900% by the end of 2007. Initially, this growth was funded by debt issuances in the European medium-term note market; however, as cracks in the international financial system appeared in 2006, the banks turned to offering high-interest savings accounts through their foreign subsidiaries. Beginning in October 2006, Kaupthing launched “Kaupthing Edge,” an online savings and deposit platform operating in markets outside Iceland. When the United States …

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 …

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 …

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 …

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, …

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 …

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 …

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 …

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 …

Effects Of Bureaucratic Corruption On Firms' Financial Constraints, Obinna Franklin Ezeibekwe

The Journal of Entrepreneurial Finance

This study provides the first empirical assessment of the causal impact of bureaucratic corruption on firms' financial constraints in Nigeria by calculating treatment effects using linear and non-linear estimators to account for potential heterogeneous treatment effects across firm groups. Formally, the theoretical framework models how corruption may facilitate or restrain firms' financial access by shaping their cost functions, which consequently influences their success or failure and ability to raise the collateral for borrowing. My analysis, using the bivariate probit method and two binary instruments, reveals that corruption significantly increases the probability of a representative MSME and firm being financially constrained …

Essays On Empirical Asset Pricing, Qi Fan

Dissertations and Theses Collection (Open Access)

My dissertation consists of three studies on how investor behavior affects the outcomes in financial markets. The first study focuses on the investors’ limited capacity on processing the complicated information transmitted through interconnected firms. The other two studies explore the investor heterogeneity on preferred time of trading, due to their personal traits or irrational judgements on the market conditions.

In Chapter 2, I focus on the return predictability across economically linked firms, due to investor limited attention. I document significant outperformance of stocks whose industry peers currently experience salient (attention-grabbing) gains, especially for those with strong social ties. The long-short …

Flow Experience In Immersive Tourism Performance: Antecedents And Tourists’ Satisfaction, Xiaoli Zhu

Dissertations and Theses Collection (Open Access)

With the deep integration of culture and tourism, immersive tourism performance has emerged as a new form of experiential consumption and has gradually become an essential vehicle for shaping destination branding and enhancing tourists’ cultural identity. By breaking the boundaries of traditional stages and integrating spatial construction, narrative mechanisms, and multidimensional interactive experiences, immersive performances create a sense of presence and immersion for tourists. This study focuses on the mechanism influencing tourists’ flow experience and satisfaction in immersive tourism performances. A theoretical model incorporating authenticity, interactivity, sense of presence, and value congruence was constructed and tested to reveal how multidimensional …

Essays In Real Estate And Household Finance, Paul Freed

Theses and Dissertations

The first chapter examines how the deterioration of a household’s balance sheet alters its propensity to sue another entity for damages in civil court. Using state-level administrative judicial data longitudinally linked to the value of individual plaintiffs’ real estate holdings, this study finds that a 5% decline in housing value is associated with an 8% increase in the probability of filing a civil suit. Similarly, a household entering a negative equity position on its mortgage is associated with a 14% increase. When facing distress, households are more likely to engage in civil action against both firms and other households, particularly …

2nd Place Contest Entry: Aquí Y Ahora: The Role Of Us Spanish-Language Tv News In Financial Vulnerability, Cintya Felix

Kevin and Tam Ross Undergraduate Research Prize

This is Cintya Felix's submission for the 2025 Kevin and Tam Ross Undergraduate Research Prize, which won second place. It contains their essay on using library resources, their bibliography, and a summary of their research project on Spanish-language media’s impact on financial attitudes.

Cintya is a third-year student at Chapman University, majoring in Political Science and Spanish. Their faculty mentor is Dr. Ann Gordon.

2nd Place Research Paper: Aquí Y Ahora: The Role Of Us Spanish-Language Tv News In Financial Vulnerability, Cintya Felix

Kevin and Tam Ross Undergraduate Research Prize

In today’s world, the news we watch often does more than inform us; it shapes our perceptions of security and the future. In this paper, I examine the extent to which an individual’s consumption of particular Spanish-speaking TV news channels contribute to their sense of financial vulnerability. Using an original data set of responses to the questions in the 2020 American National Election Studies (ANES), I find a moderately strong relationship between the television news channel Aquí y Ahora, and the degree to which they are worried about their financial situation. While it is true that various factors such …

Research On The Impact Investment Evaluation System For Photovoltaic Power Generation Projects, Shumeng Tong

Dissertations and Theses Collection (Open Access)

This study aims to put forward a more comprehensive and scientific impact of photovoltaic power generation project investment evaluation system, in order to make up for the inadequacy of existing research, for photovoltaic power generation project investment decision-making to provide a more powerful support. The conclusions and contributions of this study are as follows.

（1）Build impact of photovoltaic power generation project investment evaluation system, can comprehensively reflect more interests related subject of value, makes up for the traditional investment evaluation tend to focus on economic benefit analysis of the defects.

（2）The impact investment evaluation system of this study highlights the …

Strategies U.S. Hospital Leaders Use To Recruit, Hire, And Retain Physicians To Sustain Profitability, Terence Christopher Williams

Walden Dissertations and Doctoral Studies

Poor physician retention negatively impacts the quality of community healthcare, leading to financial losses and increased operational costs for hospitals. Hospital administrators and the governing boards are particularly concerned with addressing this issue to ensure sustainable healthcare delivery. Grounded in the Hertzberg’s two factor theory, the purpose of this qualitative pragmatic inquiry was to explore strategies that hospital administrators can utilize to improve physician retention. The participants included eight high-ranking hospital administrators within the geographic region of North Carolina who had an active role in provider retention. Data was collected using semistructured interviews, identify five critical themes: (a) implement mentorship, …