Essays on microeconomics

Altun, Ozan Altuğ (2021) Essays on microeconomics. [Thesis]

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This thesis analyzes bargaining situations via cost allocation methods pertaining to rescue in an interbank market where there exists contagious financial distress. Our results extend the rescuing structure of Rogers and Veraart (2013) into a bargaining perspective. We consider different cost allocation methods which can be used to save the defaulting banks and to stop the contagious effect of the bank failure. We show that under proportional cost allocation, the solvent banks who have strictly positive income will always save the defaulting bank under mild conditions. On the other hand, we show that rescuing formation might not work under some other cost allocation methods
Item Type: Thesis
Uncontrolled Keywords: Contagion. -- Interbank Network. -- Bank Failure. -- Cascade. -- Nash Bargaining. -- Proportional Cost Allocation. -- Ekonomik Kriz, Bankalar. -- Ağ Yapıları. -- Nash Pazarlık Çözümü.
Subjects: H Social Sciences > HB Economic Theory
Divisions: Faculty of Arts and Social Sciences > Academic programs > Economics
Faculty of Arts and Social Sciences
Depositing User: IC-Cataloging
Date Deposited: 20 Sep 2021 11:35
Last Modified: 26 Apr 2022 10:38

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