International currencies fulfill different roles in the world economy, with important synergies
across those roles. We explore the implications of currency hegemony for the external …

Following recent crises, cross-border capital flows have declined considerably, and many
advanced countries' banks are retrenching. At the same time, banks from emerging and …

This paper examines the impact of financial sector policy announcements on bank stocks
around the world during the onset of the COVID-19 crisis. Overall, we find that liquidity …

We review the literature on the empirical characteristics of the global financial cycle and
associated stylized facts on international capital flows, asset prices, risk aversion, and …

US monetary policy shocks induce comovements in the international financial variables that
characterize the “Global Financial Cycle.” A single global factor that explains an important …

We find that one global factor explains an important part of the variance of a large cross
section of returns of risky assets around the world. This global factor can be interpreted as …

Abstract The US Federal Reserve purchased both agency mortgage-backed securities
(MBS) and Treasury securities to conduct quantitative easing. Using micro-level data, we …

Foreign banks' lending to firms in emerging market economies (EMEs) is large and
denominated predominantly in US dollars. This creates a direct connection between US …

We analyze how time-varying bank-specific capital requirements affect bank lending to the
non-financial corporate sector as well as banks' balance sheet adjustments. To do so, we …

We develop a dynamic macroeconomic model with heterogeneous financial intermediaries
and endogenous entry. Time-varying endogenous macroeconomic risk arises from the risk …