Jackson, Tim

Timothy Jackson
Start date:
October 2013
Research Topic:
Ending “Too Big To Fail” in the Banking Sector
Research pathway:
Research Supervisor:
Dr Vo Phuong Mai Le
Supervising school:
Cardiff Business School,
Primary funding source:
ESRC Studentship

I am adapting the paper by Gertler, Kiyotaki and Queralto to include a default risk by banks, which is currently subsidized by the central bank’s lender of last resort policy so as to prevent bank runs as modelled by Diamond-Dybvig.

I intend to show that equity funding increases welfare as compared to this current deposit insurance regime.