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Passing on negative interest rates Cover

Figures & Tables

Figure 1

Game tree of a sequential game.
Game tree of a sequential game.

Deposits with Bank A or Bank B (figures in €)

Bank B
ActivePassive
Bank AActive1,000/1,0001,000/1,000
Passive1,000/1,0001,000/1,000

j_ijme-2020-0022_tab_006_w2aab3b7b2b1b6b1ab1b1b5Aa

AssetsLiabilities
Credit (Household 1) 1,000Demand Deposit (Household 1) 900
Minimum reserves 9RCK 109

Pay-off matrix for Bank A or Bank B (figures in €)

Bank B
ActivePassive
Bank AActive0/00/−5
Passive−5/0−5/−5

j_ijme-2020-0022_tab_007_w2aab3b7b2b1b6b1ab1b1b9Aa

AssetsLiabilities
Credit (Household 2) 1,000Demand Deposit (Household 2) 900
Minimum Reserves 9RCK 109

Asymmetry scenario (figures in €)

Bank B
ActivePassive
Bank AActive1,500/5000/2,000
(0/0)(0/−10)
Passive2,000/01,500/500
(−10/0)(−7.5/−2.5)
DOI: https://doi.org/10.2478/ijme-2020-0022 | Journal eISSN: 2543-5361 | Journal ISSN: 2299-9701
Language: English
Page range: 283 - 290
Submitted on: Feb 6, 2020
Accepted on: Aug 25, 2020
Published on: Dec 4, 2020
Published by: Warsaw School of Economics
In partnership with: Paradigm Publishing Services
Publication frequency: 4 issues per year

© 2020 Georg Stadtmann, Karl-Heinz Moritz, Kristin Berthold, Tobias Stadtmann, published by Warsaw School of Economics
This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.