06750oam 22012494 450 991081231490332120200520144314.01-4623-3053-31-4527-5308-397866128441021-282-84410-51-4518-7351-4(CKB)3170000000055350(EBL)1608831(SSID)ssj0001477340(PQKBManifestationID)11870393(PQKBTitleCode)TC0001477340(PQKBWorkID)11449876(PQKB)11661572(OCoLC)469983835(MiAaPQ)EBC1608831(IMF)WPIEE2009204(IMF)WPIEA2009204(EXLCZ)99317000000005535020020129d2009 uf 0engur|n|---|||||txtccrHow to Stop a Herd of Running Bears? Market Response to Policy Initiatives during the Global Financial Crisis1st ed.Washington, D.C. :International Monetary Fund,2009.1 online resource (80 p.)IMF Working PapersDescription based upon print version of record.1-4519-1773-2 Includes bibliographical references.Cover Page; Title Page; Copyright Page; Contents; I. Introduction; II. Measuring Financial Sector Distress and Policy Initiatives; A. The Libor-OIS Spread; 1 The 3-month Libor-OIS Spreads in Levels and First Differences, in the United States, United Kingdom, Euro Area and Japan, January 1, 2007-March 31, 2009; B. Crisis Timeline; C. Policy Announcements; 1. Classification of Policy Measures; 2. Number of Front-Page Policy Announcements, June 1, 2007-March 31, 2009; 2. Cumulative Number of Front-Page Policy Announcements, June 1, 2007-March 31, 2009; III. Event Study Methodology3. Impact of Policy Announcements on the Libor-OIS Spread, June 1, 2007-March 31, 2009IV. Impact of Policy Announcements on Interbank Credit and Liquidity Risk; A. Analysis on a Pooled Sample; Graphical Analysis; 4. Frequency Plots for the Pooled Sample of Announcements; 5. Time Profile of the Response of the Libor-OIS Spread to Policy Announcements; Statistical Analysis; 6. Magnitude and Statistical Significance of the Libor-OIS Spread Response to Policy Announcements (Pooled Sample); 3. Statistical Tests on a Pooled Sample for Alternative Event Windows and Measures of Surprise4. Statistical Tests on a Pooled Sample for Alternative Measures of Financial Risk5. Characteristics and Impact of Financial Sector Policy Measures; B. Robustness Checks; C. Country-Specific Results; Graphical Analysis; 7. Impact of Domestic and Foreign Policy Announcements on the Libor-OIS Spread, June 1, 2007-March 31, 2009; Statistical Analysis; 8. Magnitude and Statistical Significance of the Libor-OIS Spread Response to Domestic and Foreign Policy Announcements (by Country)9. Magnitude and Statistical Significance of the Libor-OIS Spread Response to Domestic and Foreign Policy Inaction and Ad Hoc Bank Bailouts (by Country)6. Statistical Significance of Foreign Policy Announcments on the Libor-OIS Spreads; V. Conclusion; Appendix I. Statistical Tests; References; FootnotesThis paper examines the impact of macroeconomic and financial sector policy announcements in the United States, the United Kingdom, the euro area, and Japan during the recent crisis on interbank credit and liquidity risk premia. Announcements of interest rate cuts, liquidity support, liability guarantees, and recapitalization were associated with a reduction of interbank risk premia, albeit to a different degree during the subprime and global phases of the crisis. Decisions not to reduce interest rates and bail out individual banks in an ad hoc manner had adverse repercussions, both domestically and abroad. The results are robust to controlling for the surprise content of announcements and using alternative measures of financial distress.IMF Working Papers; Working Paper ;No. 2009/204Global Financial Crisis, 2008-2009RecessionsBank bailoutsimfBankingimfBanks and BankingimfBanks and bankingimfBanksimfCapital and Ownership StructureimfCredit riskimfCrisis managementimfDepository InstitutionsimfEconomic & financial crises & disastersimfFinanceimfFinance: GeneralimfFinancial Institutions and Services: Government Policy and RegulationimfFinancial Risk and Risk ManagementimfFinancial risk managementimfFinancial sector policyimfFinancial services industryimfFinancial services law & regulationimfFinancing PolicyimfGeneral Financial Markets: Government Policy and RegulationimfGoodwillimfLiquidity riskimfMicro Finance InstitutionsimfMortgagesimfValue of FirmsimfUnited StatesimfGlobal Financial Crisis, 2008-2009.Recessions.Bank bailoutsBankingBanks and BankingBanks and bankingBanksCapital and Ownership StructureCredit riskCrisis managementDepository InstitutionsEconomic & financial crises & disastersFinanceFinance: GeneralFinancial Institutions and Services: Government Policy and RegulationFinancial Risk and Risk ManagementFinancial risk managementFinancial sector policyFinancial services industryFinancial services law & regulationFinancing PolicyGeneral Financial Markets: Government Policy and RegulationGoodwillLiquidity riskMicro Finance InstitutionsMortgagesValue of Firms330.9330.90511International Monetary Fund.DcWaIMFBOOK9910812314903321How to Stop a Herd of Running Bears? Market Response to Policy Initiatives during the Global Financial Crisis4247344UNINA