No próximo dia 2 de abril (quarta-feira), entre as 13h00 e as 14h00, irá decorrer no Anfiteatro 3 do ISEG (Edifício Quelhas, Piso 4) mais uma sessão do 2º Semestre dos ISEG Research Seminars.
O seminário terá como speaker Angelo Riva, da Paris School of Economics, que apresentará o paper “Flight-to-Safety and The Real Effects of Bank Runs: Evidence from the French Great Depression”, cujo abstract pode ser consultado mais abaixo.
Os seminários de Research do 2º Semestre decorrerão semanalmente até 4 de junho e contarão com a participação de docentes do ISEG e de outras escolas nacionais e internacionais. Saiba mais AQUI.
Entrada livre.
Abstract
We examine how safe assets can amplify financial instability and thus deepen economic crises. During the 1930-1931 French banking crisis, deposits flowed from unregulated commercial banks to government-backed Caisses d’Épargne (CEs), which invested exclusively in government debt. Geographic variation in CE density, rooted in 19th century establishment patterns, was unrelated to pre-crisis economic and banking growth rates. However, areas with higher CE densities experienced more bank branch closures during the crisis. The flight-to-safety thus led to local credit supply shocks. Using CE density as an instrument, we show that this flight-to-safety significantly reduced local aggregate income.