Banking stability, regulation, efficiency

Banks sit at the center of modern economies, channeling savings into loans, transmitting monetary policy, and absorbing shocks that can otherwise cascade into broader crises. Researchers study how banks manage liquidity and credit risk, how regulatory frameworks shape their behavior, and how failures or contractions in lending ripple outward to households, small businesses, and financial markets. The 2008 crisis sharpened attention on systemic risk — the danger that distress in one institution can destabilize many — and prompted ongoing debate about whether tighter capital and liquidity rules make the system safer or simply push risk into less-regulated corners. Open questions include how to calibrate regulation so it limits fragility without suppressing the credit access that small firms and developing economies depend on, and how unconventional monetary policy interacts with bank lending incentives in low-interest-rate environments.

Works

168,075

Total citations

1,864,762

Keywords

BankingFinanceLiquidityCreditRegulationSystemic Risk