Banking Globalization and Monetary Transmission

• 成果类型: Article
• 署名作者: Cetorelli, Nicola; Goldberg, Linda S.
• 署名单位: Federal Reserve System - USA; Federal Reserve Bank - New York
• 刊物名称: JOURNAL OF FINANCE
• ISSN/ISSBN: 0022-1082
• DOI: 10.1111/j.1540-6261.2012.01773.x
• 发表日期: 2012
• 页码: 1811-1843
• 关键词: internal capital-markets; credit; shocks; IMPACT; rates

摘要

Globalization of banking raises questions about banks liquidity management, their response to liquidity shocks, and the potential for international shock propagation. We conjecture that global banks manage liquidity on a global scale, actively using cross-border internal funding in response to local shocks. Having global operations insulates banks from changes in monetary policy, while banks without global operations are more affected by monetary policy than previously found. We provide direct evidence that internal capital markets are active in global banks and contribute to the international propagation of shocks. This feature was at play during the financial crisis of 20072009.