This page provides links to presentations, books, papers and reports relating to bank liquidity risk.

Presentations

A Conversation with Governor Daniel Tarullo

In-depth interview with Governor Daniel K. Tarullo, of the Federal Reserve Board and Chairman of the Federal Financial Institutions Examination Council, (the lead interagency body of the five US regulators) on the current status banking regulation in the US and internationally, at CFR, June 2015.

 

Professor John Cochrane's Vision

Professor John H. Cochrane of Chicago Booth describes his vision of a run-free financial system at the "After Dodd-Frank, the Future of Financial Markets" conference at Mercatus Center at George Mason University.  See also  "Toward a run-free financial system", 2014.

 

 

Five Years Later:  Lessons from the Crisis

Jeffrey R. Shafer became Chairman of mCD IP Corporation in Sept 2015.  Formerly, a senior bank executive and Treasury official, he argues the cause of the deepest economic collapse in 75 years was a widespread failure across the financial system. See also, the McGraw Hill Financial Global Institute paper, 2013. 

 

What Progress Since the Crisis?

Chicago Booth faculty assess what progress has been made since the collapse of Lehman Brothers, and offer four big ideas to fix the global financial system.  

See also, "What Occupy Wall Street should have said", Capital Ideas, 2013

Books

Admati,  A., and Hellwig M. 2012. "The Bankers' New Clothes: What's Wrong with Banking and What to Do about It"

Bagehot, Walter. 1873. "Lombard Street: A Description of the Money Market".

Calomiris C. and Haber S.H. 2014, “Fragile by Design: The Political Origins of Banking Crises and Scarce Credit” Princeton University Press

Chacko, G. et. al. 2011. "The Global Economic System: How Liquidity Shocks Affect Financial Institutions and Lead to Economic Crises". 

Gorton, G. B. 2012. "Misunderstanding Financial Crises: Why We Don’t See Them Coming". 

Matz, L. 2011. "Liquidity Risk Measurement and Management: Basel III and Beyond"

Papers

Acharya, V.V., and Richardson M. 2009. "Causes of the Financial Crisis". Critical Review, 21 (2-3) 195-210

Acharya V.V., and Nada Mora. 2013. "A Crisis of Banks as Liquidity Providers".

Adrian, T. and Shin H.S.. 2010. "The Changing Nature of Financial Intermediation and the Financial Crisis of 2007-09"Staff Report, Federal Reserve Bank of New York.

Adrian, T. and Ashcraft A.B. 2012. "Shadow Banking: A Review of the Literature". Staff Report, Federal Reserve Bank of New York. 

Adrian, T., Covitz D. and Liang N., 2014. "Financial Stability Monitoring". Liberty Street Economics.

Brunnermeier, M. K. 2009. "Deciphering the Liquidity and Credit Crunch of 2007-08". Journal of Economic Perspectives, 23(1), 77-100

Brunnermeier, M. K., Krishnamurthy A., Gorton G,. 2013. “Liquidity Mismatch Measurement”. NBER.

Brunnermeier M. K and Oehmke M. 2013. “The Maturity Rat Race”. Journal of Finance  Vol. 68, No. 2, pp. 483–521

Bruno, V. and Shin H.S. 2014. “Cross-border banking and global liquidity”. BIS Working Paper.

Buch, C. M., and Chapman J.and Goldberg L.. 2014. “Cross-Country Evidence on Transmission of Liquidity Risk through Global Banks”. Liberty Street Economics. 

Calomiris, C.W. and Haber S.H. 2013. “How Politics Explain Why Banking Systems Succeed and Fail”. Foreign Affairs.

Calvo, G. 2013. “The Liquidity Approach and the Price Theory of Money: Disentangling the Mysteries of Financial Crises”.

Carlson M., Duygan-Bump B., and Nelson W.R., 2015 “Why do we need both liquidity regulations and a lender of last resort? - perspective from Federal Reserve lending during the 2007–09 US financial crisis” BIS Working Paper 493

Cochrane, J.H. 2014. "Toward a run-free financial system".  University of Chicago - Booth School of Business; NBER

Cochrane J.H., May 27, 2015, “Tucker and Bagehot at Hoover” The Grumpy Economist Blog

Diamond, D.W. and P.H Dybvig P.H.. 1983. “Bank Runs, Deposit Insurance, and Liquidity”. Journal of Political Economy.

Grant, J. 2012. “Liquidity transfer pricing: A guide to better practice”. Working Paper. APRA.

Hong, H., Huang J. and Wu D. 2013. “The Information Content of Basel III Liquidity Risk Measures".

Huberman, G. and Repullo R. 2014. “Moral Hazard and Debt Maturity”. Columbia Business School

McAndrews, J. et. al. 2014, “Why Large Bank Failures Are So Messy and What to Do about It?”  Liberty Street Economics.

Shafer J.R. 2013. "Five Year Later: Lessons from the Financial Crisis". McGraw Hill Financial Global Institute.

Sheppard M.P., July 2015 “Liquidity Risk Mitigation for Banks: Australian and International Regulatory Approaches”, Melbourne Money and Finance Conference July 2015

Sheppard M.P., “Reviewing significant regulatory implications to bank funding”, Criterion Conference March 2017

Shin, H.S. 2009. "Reflections on Northern Rock:  The Bank Run that Heralds the Global Financial Crisis". Journal of Economic Perspectives.

Reports

International Monetary Fund. 2014. "Global Financial Stability Report Risk Taking, Liquidity, and Shadow Banking Curbing Excess while Promoting Growth".

International Monetary Fund. 2014. "The Net Stable Funding Ratio: Impact and Issues for Consideration".

The Clearing House. 2013. "Assessing the Basel III Net Stable Funding Ration in the Context of Recent Improvements in Longer-Term Bank Liquidity".