The Importance of Emergency Liquidity Risk Management during The 2007-2009 Global Financial Turmoil
Emergency liquidity risk management ranks to key concepts applied in finance.Liquidity is defined as a capacity to obtain funding when needed,while liquidity risk means as a threat to this capacity to generate cash at fair costs.We also present the Diamond and Dybvig Model that belongs to key bank run models applied in liquidity risk management.Moreover,In the paper we discuss basics of emergency liquidity risk management and its development during the 2007-2009 global turmoil.Central banks around the world tried to ease the short-term liquidity pressures that came up during the crisis.The liquidity support measures have been applied by all main central banks such as the Bank of England,the Federal Reserve or the European Central Bank.Liquidity risk should be mitigated properly by financial institutions in order to deal with emergency situations and to prevent themselves against future crises.
emergency risk:global crisis:liqudity,liquidity risk
Michal Vrábel Petr Teply
Charles University in Prague Faculty of Social Science,Institute of Economic Studies,Opletalova 26 Prague,Czech Republic
国际会议
北京
英文
26-31
2010-10-15（万方平台首次上网日期，不代表论文的发表时间）