Demand Deposit Contracts and the Probability of Bank Runs

By Itay Goldstein, Ady Pauzner. 2005

1,160 citations recorded by the source corpus.

Subfields: Accounting, Economics and Econometrics, Finance

View Paper: https://www.semanticscholar.org/paper/5426f83b9cb94785c1d3221798608f73fe6dfcfb

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Accounting

In Economics and Econometrics

In Finance

Citations in the corpus

Central bank digital currency: Central banking for all? (2020, neutral): “Goldstein and Pauzner (2005) make this assumption about which consumers receive payments to avoid the possible complications of a sequential service constraint pointed out by Wallace (1988).”
Financial Crises: Theory and Evidence (2009, background): “4 Traditionally, intermediaries also act as delegated monitors, as in Diamond (1984), restructure loans to discipline borrowers, as in Gorton and Kahn (1994), or perform an important role in maturity transformation, as we will describe in the next section.”
Knowing What Others Know: Coordination Motives in Information Acquisition (2007, positive): “First, when actions are complements, information (1)Among many other papers, see Mankiw and Reis (2002), Woodford (2002), Lorenzoni (2006) or Zeira (1999)for models of price adjustment and business cycles.”
Liquidity Risk Premia in Unsecured Interbank Money Markets (2009, neutral): “Thus, unsecured term money market rates will be higher if lenders may face a lack of high-quality collateral before term loans mature.3 This last point may have played a speci c role during the nancial market turbulences.”
Deposit Competition and Financial Fragility: Evidence from the US Banking Sector (2017, background): “An extensive theoretical literature allows us to understand the mechanisms underlying banking (in)stability (Diamond Dybvig 1983, Goldstein and Pauzner 2005).”
Funding Liquidity Risk in a Quantitative Model of Systemic Stability (2009, positive): “…the rest of the model are mapped into specific indicators of funding stress relating to three key areas that theoretical models (Chen (1999) and Goldstein and Pauzner (2005)) and evidence from case studies and banks’ own liquidity policies suggest are important – solvency, liquidity and…”
Ignorance, Debt and Financial Crises + (2012, methodology): “First, there are self-fulfilling expectations or sun spots theories, starting with Diamond and Dybvig (1983), and refined by Goldstein and Pauzner (2005) who apply the global games method of Carlsson and van Damme (1993).”
Bailouts and Financial Fragility (2016, neutral): “[12] Goldstein, Itay and Ady Pauzner (2005) “Demand deposit contracts and the probability of bank runs,” Journal of Finance 60: 1293-1327.”
Runs on Money Market Mutual Funds (2016, neutral): “The common public signal acts as an additional coordination device for agents’ actions, affecting the probability of regime changes (Goldstein and Pauzner 2005).”
A Tale of Two Runs: Depositor Responses to Bank Solvency Risk (2014, neutral): “See Bryant (1980), Diamond and Dybvig (1983), Postlewaite and Vives (1987), Goldstein and Pauzner (2005) and Rochet and Vives (2005) for models based on coordination problems.”