A modern version of monetary circuit theory with a particular emphasis on stochastic
underpinning mechanisms is developed. It is explained how money is created by the …

We propose a network-based structural model of credit risk to demonstrate how idiosyncratic
and systemic shocks propagate across the banking system and evaluate the costs. The …

We propose a network-based model of credit contagion and examine the e ects of
idiosyncratic and systemic shocks to individual banks and the banking system. The banking …

In this paper, we construct a structural model of credit risk in order to examine how different
magnitudes of exogenous shocks to bank loans propagate across the network. We also …

Disertacija prinaša mrežni model bančnega sistema, ki ga definira kot dinamični, usmerjeni
in uteženi graf med seboj povezanih bank, ki so izpostavljene nihanjem likvidnostnih potreb …

We construct a structural model of credit risk to examine the relationship between bank
balance sheet diversification and bank capital in terms of the stability of the banking system …

The paper provides methodologically new approach to pricing CDS, predicated on the
banking network and the banks' balance sheets. The model is evolutionary and includes a …

We study the stability of the banking system after a mortgage shock when a discretionary
bailout policy is applied. Results suggest that the authority should be focused on preventing …

Paper presents a mechanism for measuring stability of banking system based on the default
risk of nonbanking debtors and contagion potential of banks. The approach is tested on …