The use of blanket guarantees in banking crises

LDR 02076 am a2200325Ia 4500
001 010571229
003 MiAaHDL
005 20110628000000.0
006 m d
007 cr bn ---auaua
008 081117s2008 dcua b i000 0 eng d
035 ⊔ ⊔ ‡asdr-inu8249206
035 ⊔ ⊔ ‡a(OCoLC)272266969
040 ⊔ ⊔ ‡aSIMAS ‡cSIMAS
100 1 ⊔ ‡aLaeven, Luc.
245 1 4 ‡aThe use of blanket guarantees in banking crises / ‡cprepared by Luc Laeven and Fabian Valencia.
260 ⊔ ⊔ ‡a[Washington, D.C.] : ‡bInternational Monetary Fund, Research Dept., ‡cc2008.
300 ⊔ ⊔ ‡a43 p. : ‡bill. ; ‡c28 cm.
490 0 ⊔ ‡aIMF working paper ; ‡vWP08/250
500 ⊔ ⊔ ‡aAt head of title: Research Department.
500 ⊔ ⊔ ‡a"October 2008."
504 ⊔ ⊔ ‡aIncludes bibliographical references (p. 41-43).
520 ⊔ ⊔ ‡aIn episodes of significant banking distress or perceived systemic risk to the financial system, policymakers have often opted for issuing blanket guarantees on bank liabilities to stop or avoid widespread bank runs. In theory, blanket guarantees can prevent bank runs if they are credible. However, guarantee could add substantial fiscal costs to bank restructuring programs and may increase moral hazard going forward. Using a sample of 42 episodes of banking crises, this paper finds that blanket guarantees are successful in reducing liquidity pressures on banks arising from deposit withdrawals. However, banks' foreign liabilities appear virtually irresponsive to blanket guarantees. Furthermore, guarantees tend to be fiscally costly, though this positive association arises in large part because guarantees tend to be employed in conjunction with extensive liquidity support and when crises are severe.
530 ⊔ ⊔ ‡aAlso available via the World Wide Web.
538 ⊔ ⊔ ‡aMode of access: Internet.
650 ⊔ 0 ‡aDeposit insurance.
650 ⊔ 0 ‡aMoral hazard.
650 ⊔ 0 ‡aFinancial crises.
650 ⊔ 0 ‡aBank failures.
700 1 ⊔ ‡aValencia, Fabian.
710 2 ⊔ ‡aInternational Monetary Fund. ‡bResearch Dept.
CID ⊔ ⊔ ‡a010571229
DAT 0 ⊔ ‡a20110628081807.0 ‡b20110628000000.0
DAT 1 ⊔ ‡a20120814120435.0 ‡b2024-01-28T18:44:15Z
CAT ⊔ ⊔ ‡aSDR-INU ‡dUNKNOWN ‡lloader.pl-001-001
FMT ⊔ ⊔ ‡aBK
HOL ⊔ ⊔ ‡0sdr-inu8249206 ‡ainu ‡bSDR ‡cINU ‡pinu.30000126772163 ‡sINU ‡18249206
974 ⊔ ⊔ ‡bINU ‡cINU ‡d20240128 ‡sgoogle ‡uinu.30000126772163 ‡y2008 ‡ric ‡qbib ‡tUS bib date1 >= 1930