Nathaniel Frank, Brenda González-Hermosillo, Heiko Hesse, 13 September 2008

The recent credit crisis started as a credit shock and then rapidly promulgated in the form of market and funding illiquidity before inducing solvency problems at some financial institutions. This column presents empirical evidence mapping the transmission channels of the crisis.

Full Article: Transmission of liquidity shocks: Evidence from the 2007 subprime crisis