Leverage Cycles and the Anxious Economy

By A. Fostel, John D. Geanakoplos. 2008

645 citations recorded by the source corpus.

Subfields: Economics and Econometrics, Finance

View Paper: https://www.semanticscholar.org/paper/b977454d9790cbdca0e843fde702509cbd048d99

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Citations in the corpus

Leverage causes fat tails and clustered volatility (2009, neutral): “We are not the first to recognize the downward spiral of margin calls (Geanakoplos 1997, 2003, 2010, Shleifer and Vishny 1997, Gromb and Vayanos 2002, Fostel and Geanakoplos 2008, Brunnermeier and Pedersen 2009).”
Leverage across firms, banks, and countries ☆ (2012, background): “A number of recent theoretical papers aim at understanding the endogenous leverage process (Farhi and Tirole (2010); Fostel and Geanakoplos (2008); Brunnermeier and Pedersen (2009)) but, to this date, leverage before and after the crisis has not been studied in the framework of an internationally…”
Solving the present crisis and managing the leverage cycle (2010, methodology): “This line of research has been pursued by Gromb and Vayanos (2002), Fostel and Geanakoplos (2008), Brunnermeier and Pedersen (2009), and Adrian and Shin (forthcoming), among others.”
A model of unconventional monetary policy (2011, background): “Note first that we can express the incentive constraints as ηtNjt + vtQtSjt ≥ λQtSjt (12)”
Macroeconomics with Financial Frictions: A Survey (2012, positive): “(17)This model can be included in a more dynamic setting as in Fostel and Geanakoplos (2008).”
Cross-Border Banking and Global Liquidity (2015, background): “(2010) and Fostel and Geanakoplos (2008, 2012) have examined how the risk bearing capacity of the nancial system can be severely diminished when leverage falls through an increase in collateral requirements.”
Trusting the Bankers: A New Look at the Credit Channel of Monetary Policy (2015, neutral): “Therefore it may a ect loan supply and, as a consequence, aggregate output and prices (Bernanke and Blinder, 1988, 1992; Diamond and Rajan, 2006, 2009; Gertler and Karadi, 2010; Bernanke and Gertler, 1989; Kiyotaki and Moore, 1997, 2008; Bernanke, Gertler, Gilchrist, 1996, 1999; Matsuyama, 2007; Fos”
The Economic Crisis is a Crisis for Economic Theory (2010, background): “7 For a complete and entertaining account of this period and the origins and development of the efficient markets hypothesis, see Fox (2009). 8 It is also worth remarking that Poincaré had a correspondence with Walras, the founder of General Equilibrium theory, in which he chided the latter for his ”