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Liquidity

Author

Listed:
  • Ernst-Ludwig VON THADDEN

Abstract

This is a survey of the literature on liquidity provision through banks. I first formulate the basic model underlying the modern literature on liquidity provision for households and then introduce the more recent literature on liquidity provision through banks and markets. Then I turn to liquidity provision on the asset side of banks' balance sheets and conclude with a brief discussion of how the two sides of the balance sheet interact.

Suggested Citation

  • Ernst-Ludwig VON THADDEN, 2002. "Liquidity," Cahiers de Recherches Economiques du Département d'économie 02.01, Université de Lausanne, Faculté des HEC, Département d’économie.
  • Handle: RePEc:lau:crdeep:02.01
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    File URL: http://www.hec.unil.ch/deep/textes/02.01.pdf
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    More about this item

    Keywords

    liquidity; banks; markets;
    All these keywords.

    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

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