• Covered bonds and bank portfolio rebalancing 

      Cao, Jin; Juelsrud, Ragnar E.; Sondershaus, Talina (Working Paper;6/2021, Working paper, 2021)
      We use administrative and supervisory data at the bank and loan level to investigate the impact of the introduction of covered bonds on the composition of bank balance sheets and bank risk. Covered bonds, despite being ...
    • Fertility Cost, Intergenerational Labor Division, and Female Employment 

      Yu, Haiyue; Cao, Jin; Kang, Shulong (Working Paper;3/2019, Working paper, 2019)
      China has set to increase the minimum retirement age, to ease the pressure from pension expenditure and the falling labor supply caused by the aging population. However, policy debates have so far neglected the crucial ...
    • Financial Globalization and Bank Lending : The Limits of Domestic Monetary Policy? 

      Cao, Jin; Dinger, Valeriya (Working papers;4/2018, Working paper, 2018)
      We empirically analyze how bank lending reacts to monetary policy in the presence of global financial flows. Employing a unique and novel dataset of the funding modes and currency composition of the full population of ...
    • Identifying the depreciation rate of durables from marginal spending responses 

      Cao, Jin; Cui, Chao; Dinger, Valeriya; Holm, Martin B.; Kang, Shulong (Working paper;1/2022, Working paper, 2022)
      This paper presents a novel method to estimate the depreciation rate of durable goods using a combination of identified marginal and average spending shares. We apply our method to Chinese spending responses to disposable ...
    • Illiquidity, Insolvency, and Banking Regulation 

      Cao, Jin (Working Papers;13/2011, Working paper, 2011)
      This paper provides a compact framework for banking regulation analysis in the presence of uncertainty between systemic liquidity and solvency shocks. It explains the asset price anomalies and bank lending freeze during ...
    • The interaction between macroprudential and monetary policies: The cases of Norway and Sweden 

      Cao, Jin; Dinger, Valeriya; Grodecka-Messi, Anna; Juelsrud, Ragnar; Zhang, Xin (Working Paper;8/2020, Working paper, 2020)
      To shed light on the interaction between macroprudential and monetary policies, we study the inward transmission of foreign monetary policy in conjunction with domestic macroprudential and monetary policies in Norway and ...
    • “Interest Rate Trap”, or: Why Does the Central Bank Keep the Policy Rate Too Low for Too Long Time? 

      Cao, Jin; Illing, Gerhard (Working Papers;12/2011, Working paper, 2011)
      This paper provides a framework for modeling the risk-taking channel of monetary policy, the mechanism how financial intermediaries’ incentives for liquidity transformation are affected by the central bank’s reaction to ...
    • Monetary Policy and Financial Stability in the Long Run 

      Cao, Jin; Chollete, Lorán (Working Papers;21/2013, Working paper, 2013)
      Most theoretical central bank models use short horizons and focus on a single tradeoff. However, in reality, central banks play complex, long-horizon games and face more than one tradeoff. We account for these issues in a ...
    • Monetary policy spillover to small open economies: Is the transmission different under low interest rates? 

      Cao, Jin; Dinger, Valeriya; Gómez, Tomás; Gric, Zuzana; Hodula, Martin; Jara, Alejandro; Juelsrud, Ragnar; Liaudinskas, Karolis; Malovaná, Simona; Terajima, Yaz (Working Paper;12/2021, Working paper, 2021)
      We explore the impact of low and negative monetary policy rates in core world economies on bank lending in four small open economies – Canada, Chile, the Czech Republic and Norway – using confidential bank-level data. Our ...
    • Money in the Equilibrium of Banking 

      Illing, Gerhard; Cao, Jin (Working Papers;22/2015, Working paper, 2015)
      In most banking models, money is merely modeled as a medium of transactions, but in reality, money is also the most liquid asset for banks. Central banks do not only passively supply money to meet demand for transactions, ...
    • Opacity and risk-taking: Evidence from Norway 

      Cao, Jin; Juelsrud, Ragnar E. (Working Paper;12/2020, Working paper, 2020)
      This paper investigates how balance sheet opacity affects banks' risk-taking behavior. We measure bank balance sheet opacity according to two metrics: the ratio of available-for-sale (AFS) securities and the ratio of ...