Resumen de Essays on liquidity
This thesis presents three theoretical models in which to coach the debate regarding the liquidity problems that arose during the US financial crisis and the European sovereign debt crisis. Chapter one analyzes the interplay between optimal capital and liquidity requirements in a risk-shifting framework. Chapter 2 shows why holding risky liquid assets might reduce the bank's illiquidity risk. Finally, Chapter 3 studies to what extent an increment in non-performing loans and the phenomenon of deposit flight Will have different impacts on a bank's access to external funding through their different impact on the balance sheet.
