WebbThe procyclicality of bank leverage has been a subject of keen interest, especially in the wake of the Global Financial Crisis (GFC). Following Shin [2012] and Adrian and Shin [2014], leverage procyclicality refers to the cyclical variations of leverage according to the nancial cycle. Extending their leverage during booms, banks strengthen the WebbThis paper explains how real wages are procyclical for those who stay with the same employer. On the basis of the Panel Study of Income Dynamics data for the period from 1974–1975 to 1990–1991, we find that the substantial wage procyclicality among job stayers is mostly accounted for by large wage adjustments during the period when the …

CEPII - Banking Leverage Procyclicality: a Theoretical Model ...

WebbThis paper extends Adrian and Shin (2014) by allowing banks to hold assets and liabilities denominated in foreign currency. ... However, currency diversification changes leverage procyclicality where the decrease or increase in leverage procyclicality relative to the home economy will depend on the type of shock. WebbFinancial intermediaries borrow in order to lend. When credit is increasing rapidly, the traditional deposit funding (core liabilities) is supplemented with other funding (non-core liabilities). We explore the hypothesis that monetary aggregates reflect the size of non-core and core liabilities and hence convey information on the stage of the financial cycle. In … humana medicare supplement payer id

Procyclical Leverage andValue-at-Risk - Bank for International …

WebbProcyclicality of leverage is the mirror image of increased collateral require-ments (increased “haircuts”) during downtu rns, and Geanakoplos ... Adrian and Shin (2010) show that leverage fluctuates through changes in the total size of the balance sheet, with equity being the exogenous variable. WebbWhat is procyclicality? Strictly speaking, procyclicality refers to the tendency of financial variables to fluctuate around a trend during the economic cycle. Increased … Webbprocyclicality, liquidity facilities, monetary polic Adrian: Federal Reserve Bank of New York (e-mail: [email protected]). Shin: Princeton University (e-mail: … humana medicare supplement plan k