Hyun Song Shin

We offer a model of currency carry trades in which carry traders earn positive excess returns if they successfully coordinate on supplying excessive...

The availability of credit varies over the business cycle through shifts in the leverage of financial intermediaries. Empirically, we find that...

Banks operating under Value-at-Risk constraints give rise to a well-defined aggregate balance sheet capacity for the banking sector as a whole that...

Risk is endogenous. Equilibrium risk is the fixed point of the mapping that takes perceived risk to actual risk. When risk-neutral traders operate...

This Special Paper is a collection of contributions to a conference on Cycles, Contagion and Crises which took place on 28-29 June 2007 at the...

Various markets, particularly NASDAQ, have been under pressure from regulators and market participants to introduce call auctions for their opening...

Recent debate on the reform of the international financial architecture has highlighted the potentially important role of the official sector in...

It is our view that the Basel Committee for Banking Supervision, in its Basel II proposals, has failed to address many of the key deficiencies of the...