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Sponsored Artificial Intelligence: A Modern Approach, Global Edition Artificial Intelligence: A Modern Approach, Global Edition

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Seungho Lee

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Open access Jul 2026

Impact of monetary policy on bank liquidity creation: Economic policy uncertainty channel

This study examines how monetary policy affects bank liquidity creation in the U.S. from 2001 to 2022. Utilizing a dynamic panel Generalized Method of Moments (GMM) estimator on quarterly bank-level data, the findings indicate that monetary policy exerts a significant negative effect on bank liquidity creation. Crucial...

Seungho Lee, Md Zahangir Alam · 1 citation

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