Search Results
Monograph
Policies toward corporate leveraging
Journal Article
Foreign bank credit to U.S. corporations: the implications of offshore loans
International financial transactions have grown in recent years far faster than has our ability to understand their significance for national economies. This article seeks to explain the rise in bank loans from banks outside the United States to U.S. businesses. The article looks at the implications of the rapid growth of such loans for issues ranging from the corporate debt buildup in the United States in the late 1980s to the loss of market share in U.S. commercial lending by U.S.-owned banks.
Conference Paper
The cost of capital for banks in international competition
Journal Article
How lower Japanese asset prices affect Pacific financial markets
The collapse of Japanese asset prices in the 1990s sharply reduced the wealth of Japanese banks and life insurers and slowed their international activity. This article traces the channels through which wealth changes altered these intermediaries' growth, pricing, and portfolio strategies. The authors also consider several factors that have eased the adaptation of foreign market participants to the revised strategies.
Journal Article
The Offshore Dollar and US Policy
Dollar borrowing outside the United States has over generations grown to be very large, with US policy providing some inducement and, in critical episodes, support. But in lending dollars through open-ended central bank swaps in 2008 and 2020, the Fed broke new ground as international lender of last resort. By countering dollar runs on non-US banks, the Fed supplied the global public good of financial stability. In addition, it restored domestic US monetary transmission. In 2020 the Fed's last-resort buying of domestic corporate bonds also did double duty, stabilizing the global dollar bond ...
Journal Article
Bank cost of capital and international competition
The rising share of U.S. corporate loans booked by foreign-owned banks and the withdrawal of U.S. banks from foreign lending raise concerns about the competitiveness of U.S. banks. This article investigates how differential capital costs may have placed U.S. banks at a disadvantage relative to their foreign competitors. The authors compare the capital costs facing commercial banks in the United States and five other industrial countries and present explanations for the observed differences.
Journal Article
Explaining international differences in the cost of capital