Minimal Settlement Assets in Economies with Interconnected Financial Obligations

被引:10
作者
Rotemberg, Julio J. [1 ]
机构
[1] Harvard Univ, Sch Business, Soldiers Field, Boston, MA 02163 USA
关键词
D53; D85; G20; settlement of obligations; interconnected financial system; liquidity shortages; SYSTEMIC RISK; CONTAGION; MONEY; GROSS;
D O I
10.1111/j.1538-4616.2010.00366.x
中图分类号
F8 [财政、金融];
学科分类号
0202 ;
摘要
A model is developed where firms belonging to a group are obliged to make payments to one another by using a liquid asset. The paper studies the exogenous endowments of this asset that are necessary to assure that all obligations are met. Conditions are presented under which the degree to which firms are interconnected (so that each creditor has more debtors and each debtor has more creditors) increases the number of firms that must be endowed with the liquid asset. Interconnectedness then makes payment defaults more likely. By acquiring too many payment obligations, firms may also become too interconnected.
引用
收藏
页码:81 / 108
页数:28
相关论文
共 22 条