We show that repurchase agreements (repos) arise as the instrument of choice to borrow in
a competitive model with limited commitment. The repo contract traded in equilibrium …

This paper shows that the leverage ratio affects repo intermediation for banks and non-bank
financial institutions. We exploit a novel regulatory change in the UK to identify an …

This paper presents a model of repo intermediation in which dealers intermediate secured
financing between lenders and borrowers using the same collateral. Lenders are insulated …

In this article we examine the competitive equilibria of a dynamic stochastic economy with
complete markets and collateral constraints. We show that, provided the sets of asset pay …

The ramifications of the Global Financial Crisis, which erupted in 2007, continue to surprise
not only the general public but also finance professionals, economists, and journalists …

Geld ist keine Ware, sondern Kredit, also ein Zahlungsversprechen, und muss als
paraökonomische Struktur im Kapitalismus der Gegenwart verstanden werden. Wie sind die …

This paper introduces a methodology to estimate the re‐use of collateral based on actual
transaction data. With a comprehensive data set from the Swiss franc repo market we are …

This paper introduces collateral rehypothecation, a widespread practice in derivatives,
swaps, and repo markets, in a general equilibrium model with default. Rehypothecation …

We study how the practice of collateral rehypothecation impacts the generation of liquidity
and the emergence of systemic liquidity risk, and how both depend on the structure of the …

We develop a dynamic general equilibrium monetary model where a shortage of collateral
and incomplete markets motivate the formation of credit relationships and the …