Joachim Jungherr shows that the socially desirable level of bank transparency trades off market discipline with a stabilizing role of the Hirshleifer effect.
This is the second of two roundups of VoxEU articles written by Barcelona GSE researchers.
Puriya Abbassi, Rajkamal Iyer, José-Luis Peydró and Francesc R. Tous find that banks with higher trading expertise increase their investments in securities and decrease their lending during a crisis.
Albert Marcet talks about the objectives, challenges, and initial findings of his ERC Advanced Grant Project.
Raquel Fernández and Alberto Martín explore the role of debt maturity on the frequency with which a country enters a debt crisis and on the severity of the latter.
Ariadna Dumitrescu and Javier Gil-Bazo explore whether familiarity bias among investors may help shape competition among funds, persistence of fund performance, and fees charged.