Javier Suarez
Professor
of Finance
CEMFI - Casado del Alisal 5 - 28014 Madrid - Spain
Phone: +34 914290551 - Fax: +34 914291056 - E-mail: suarez@cemfi.es CV in PDF
Doctoral studies
Ph.D. in Economics,
Universidad Carlos III de Madrid, 1991-1994.
Current positions
Full Professor at CEMFI.
Research Fellow of the Center for
Economic Policy Research (CEPR).
Research Associate of the European Corporate Governance
Institute (ECGI).
Member of the Advisory Scientific Committee (ASC) of
the European Systemic Risk Board (ESRB).
Visiting Scholar at Columbia Business School,
October-November 2024.
Previous positions
Postdoctoral fellow,
Lecturer in Economics at the
Member of the Financial Markets Group of the LSE, 1994-1996.
Research Affiliate of the CEPR, 1996-2001.
Assistant Professor at CEMFI, 1996-2001.
Associate Professor at CEMFI, 2001-2004.
Associate editor of the Review of Finance,
2003-2009.
Swiss Finance Institute Visiting Professor at the
University of Zurich, February-April 2011.
Visiting Scholar at the Federal Reserve Bank of New
York, September-November 2011.
Associate editor of the Journal of the European Economic Association, 2009-2012.
Academic advisor of the Macro-prudential Research
Network (MaRs) of the ESCB, 2013-2014.
Chair of the ESRB Task Force Financial Stability Implications of IFRS 9,
2016-2017.
Vice-Chair (2015-2018; 2019-2020, 2022-2023) and Chair
(2018-2019; 2020-2021) of the ASC of the ESRB.
Teaching
Corporate Finance, Banking.
Current research
Corporate finance, banking theory, banking regulation,
financial crises, venture capital.
Selected research
papers (highlighted papers can be downloaded in pdf format)
A.
Published or accepted for publication in refereed journals (reverse chronological order)
·
"Twin defaults and bank capital requirements" (with C. Mendicino,
K. Nikolov, J. Rubio-Ramirez and D. Supera), Journal of Finance, forthcoming. (Posted version
November 2023. Revised version of CEPR DP 14427, January 2021.)
·
"Bank restructuring under
asymmetric information: The role of bad loan sales" (with A.
Segura), Journal of Financial Intermediation, 56 (2023), 101058. [Revised version
of CEPR DP 13718, April 2019.]
·
"Capital
forbearance in the bank recovery and resolution game" (with N. Martynova
and E. Perotti), Journal of Financial Economics, 146 (2022), 884-904. [Revised
version of CEPR DP 13617, March 2019.]
·
"Growth-at-risk and macroprudential policy
design", Journal
of Financial Stability,
60 (2022), 101008. (Revised version of ESRB Occasional Paper No. 19,
September 2021.)
·
"Bank capital in the short and in the long run" (with C. Mendicino,
K. Nikolov and D. Supera), Journal
of Monetary Economics,
115 (2020), 64-79. [Available online, June 2019].
·
"Liquidity
standards and the value of an informed lender of last resort" (with J. Santos), Journal
of Financial Economics,
132 (2019), 351-368. [Online Appendix for
January 2018 version]
·
"Optimal
dynamic capital requirements" (with C. Mendicino, K. Nikolov and D. Supera), Journal
of Money, Credit, and Banking, 50 (2018), 1271-1297. [Online Appendix for
October 2017 version.]
·
"How
excessive is banks’ maturity transformation?" (with A.
Segura), Review of
Financial Studies, 30
(2017), 3538-3580. (Based on an old paper titled "Recursive
maturity transformation", September 2013.) [Online Appendix for
September 2016 version.]
· "Capital regulation in a
macroeconomic model with three layers of default" (with L. Clerc, A. Derviz, C. Mendicino, S. Moyen, K. Nikolov, L. Stracca, and A.
Vardoulakis), International Journal of Central Banking, 11 (2015), 9-64.
·
"Interest rates and
credit risk" (with C. González-Aguado), Journal of Money, Credit, and Banking, 47 (2015), 445-480.
·
"The
procyclical effects of bank capital regulation" (with R. Repullo),
Review of Financial Studies, 26 (2013), 452-490. (Revised
version of "The procyclical effects of Basel
II", CEPR DP 6862, June 2008.)
· "Patent litigation and
the role of enforcement insurance" (with G. Llobet),
Review of Law & Economics, 8 (2012), 789-821. [Revised version
of "Financing and the protection of innovators", CEPR DP 4944, March
2005.]
· "A
Pigovian approach to liquidity regulation" (with E. Perotti),
International Journal of Central Banking, 7 (2011), 3-41.
· "The Spanish crisis: Background and policy challenges", Moneda y Crédito, 232 (2011), 151-192.
· "Deposit insurance and money market
freezes" (with M. Bruche), Journal
of Monetary Economics,
57 (2010), 45-61. (A previous version circulated under the title "The
macroeconomics of money market freezes".)
· "Social
contacts and occupational choice" (with S. Bentolila
and C. Michelacci), Economica, 77 (2010), 20-45.
· "Firms'
stakeholders and the costs of transparency" (with A. Almazan
and S. Titman), Journal
of Economics and Management Strategy, 18 (2009), 871-900.
· "Financial
distress, bankruptcy law, and the business cycle" (with O. Sussman),
Annals of Finance, 3 (1) (2007),
5-35.
· "Incomplete
wage posting" (with C. Michelacci), Journal of Political Economy, 114 (6)
(2006), 1098-1123.
· "Loan
pricing under Basel capital requirements" (with R. Repullo),
Journal of Financial Intermediation, 13 (4) (2004), 496-521.
· "Venture
capital finance: A security design approach" (with R. Repullo),
Review of Finance, 8 (2004), 75-108.
· "Business
creation and the stock market" (with C. Michelacci), Review of Economic Studies, 71 (2) (2004), 459-481.
· "Entrenchment
and severance pay in optimal governance structures" (with A. Almazan),
Journal of Finance, 58 (2) (2003), 519-548.
· "Managerial
compensation and the market reaction to bank loans" (with A. Almazan),
Review of Financial Studies, 16 (1) (2003), 237-261.
·
"Last
bank standing: What do I gain if you fail?" (with
E. Perotti), European Economic Review,
46 (09) (2002), 1599-1622.
· "Entrepreneurial
moral hazard and bank monitoring: A model of the credit channel" (with R. Repullo),
European Economic Review, 44 (10) (2000), 1931-1950.
· "Financial
distress and the business cycle" (with O. Sussman), Oxford Review of Economic Policy, 15 (3) (1999), 39-51.
· "Risk-taking and the prudential regulation of banks", Investigaciones Económicas, 22 (1998), 307-336.
· "Monitoring, liquidation, and security design" (with R. Repullo),
Review of Financial Studies, 11 (1998), 163-187. Reprinted in S.
Bhattacharya, A. Boot, and A. Thakor (eds.), Credit,
Intermediation, and the Macroeconomy,
· "Endogenous cycles in a
Stiglitz-Weiss economy" (with O. Sussman), Journal of Economic Theory, 76 (1997), 47-71. Reprinted in B. Biais and M. Pagano (eds.), New Research in Corporate
Finance and Banking,
B. Unpublished (reverse chronological order)
· "A macroeconomic model of banks’ systemic risk
taking" (with J. Abad and D. Martínez-Miera), September 2024. (New paper based on
"Banks’ endogenous systemic risk taking", September 2014.)
· "On the interaction between
patent screening and its enforcement" (with G. Llobet
and A. Parra), October 2023. (Revised version of CEPR DP 16715, November 2021.
· "A model of interacting
banks and money market funds" (with M. Farias), May 2023.
·
"Optimally solving banks’ legacy problems" (with A. Segura), March 2020.
(Revised version of CEPR DP 13718, April 2019.)
·
"The procyclicality of expected credit
loss provisions" (with J. Abad), October 2018. (Revised version of "Assessing the cyclical
implications of IFRS 9 – A recursive model", ESRB Occasional
Paper No. 12, July 2017.)
·
"Equity versus bail-in debt in banking: An agency perspective" (with C. Mendicino
and K. Nikolov), January 2018.
C. Permanent working papers (reverse chronological order)
· "Banks’ endogenous
systemic risk taking" (with D. Martínez-Miera),
September 2014.
· "Entrepreneurial
innovation, patent protection, and industry dynamics" (with G. Llobet), March 2013. (Revised version of "Financially
constrained innovation, patent protection, and industry dynamics", RICAFE
WP 052, January 2008.)
· "Hot
and cold housing markets: International evidence" (with J. Ceron),
CEPR DP 5411, January 2006.
· "Closure
rules, market power and risk-taking in a dynamic model of bank behavior", LSE Financial Markets Group DP 196, November 1994.
(Re-typed version of the original manuscript, with new pagination.)
Selected contributions to policy reports (reverse
chronological order)
·
Addressing banks’
vulnerability to deposit runs: revisiting the facts, arguments and policy
options (with T. Beck, V. Ioannidou, E. Perotti, A. Sánchez-Serrano, X. Vives), Reports of the Advisory Scientific
Committee No. 15, European Systemic Risk Board, August 2024.
·
Corporate credit and leverage
in the EU: Recent evolution, main drivers and financial stability implications
(with T. Beck, T. Peltonen, E. Perotti,
A. Sánchez-Serrano),
Reports of the Advisory Scientific Committee No. 14, European Systemic Risk
Board, June 2023.
·
On the stance of macroprudential policy (with S. Cecchetti), Reports of the Advisory Scientific
Committee No. 11, European Systemic Risk Board, December 2021.
·
Approaching non-performing loans from a macroprudential
angle
(with A. Sánchez-Serrano),
Reports of the Advisory Scientific Committee No. 7, European Systemic Risk
Board, September 2018.
· Financial stability implications of IFRS 9, ESRB Report, European Systemic Risk
Board, July 2017.
·
Too late, too sudden: Transition to a low-carbon economy and systemic
risk,
Reports of the Advisory Scientific Committee No. 6, European Systemic Risk
Board, February 2016.
Policy papers, non-refereed publications
and other writings (reverse chronological order)
·
"Addressing interest rate risk when banking on deposits: a simple framework", mimeo, September 2023.
· "Reforming bank stress testing in the EU: reflections in light of
the EBA’s discussion paper on the issue" (with W. Buiter), ASC Insight No. 1, European
Systemic Risk Board, August 2020.
·
"IFRS 9 and COVID-19: Delay and
freeze the transitional arrangements clock" (with J. Abad), in A. Bénassy-Quéré
and B. Weder di Mauro (eds.), Europe in the Time of Covid19,
A VoxEU.org eBook, CEPR Press (2020), 98-103.
·
"The simple analytics of systemic liquidity risk regulation" (with E. Perotti),
in D. Schoenmaker (ed.), Macroprudentialism, A VoxEU.org eBook, CEPR Press
(2014), 129-135.
·
"Macroprudential capital tools: assessing
their rationale and effectiveness" (with L. Clerc,
A. Derviz, C. Mendicino, S.
Moyen, K. Nikolov, L. Stracca, and A. Vardoulakis), Banque de France Financial Stability Review, 18 (2014), 183-193.
·
"The socially optimal level of capital requirements: a view from two
papers",
in V. Acharya, T. Beck, D. Evanoff, G. Kaufman, and
R. Portes (eds.), The
Social Value of the Financial Sector: Too Big to Fail or Just Too Big,
World Scientific Studies in International Economics, vol. 29 (2013), 257-266.
· "A three-pillar solution to the Eurozone crisis", VOX column 6874, 15 August 2011.
· "Discussion
of: Procyclicality of capital requirements in a
general equilibrium model of liquidity dependence", International Journal of Central Banking 6(4) (2010), 175-186.
· "Liquidity
insurance for systemic crises" (with E. Perotti), CEPR
Policy Insight 31, February 2009. Summarized in FT.com/economistsforum (24/02/2009). Republished in Italian as
"Un’assicurazione contro le crisi sistemiche", Equilibri, 13(3) (Dicembre 2009), 391-396.
·
"La gestión de los
problemas de confianza en tiempos de crisis sistémica" (in Spanish), Perspectivas
del Sistema Financiero, 95 (2009), 1-17.
· "Bringing money markets back to life", VOX column 2411, 13 October 2008.
Republished in French as "Ramener rapidement les marchés monétaires à la vie", Commentaire, 124 (Hiver 2008-2009), 1001-1004.
· "The need for an emergency bank debt insurance mechanism", CEPR Policy
Insight 19, March 2008. (A summary of this piece appeared as VOX column 1013, 27 March 2008.)
Participation in policy-oriented forums
in the aftermath of the Global Financial Crisis (years 2009-2012) (reverse
chronological order)
· 15th Annual International
Banking Conference,
Federal Reserve Bank of
· Spanish Capital Market Forum 2012, Euromoney
Conferences,
· Workshop on "Liquidity
Regulation",
Federal Reserve Board,
· Panel on "Crisis Resolution in
Financial Institutions and Countries", 38th Annual Meeting of the European Finance
Association,
· XXIII Symposium Moneda
y Crédito: The Way Out of the World Recession: Policy
Strategies and Trade-Offs", Fundación Banco
· CEPR Conference on "The Future of
Regulatory Reform",
Grocers’ Hall,
· DNB/UvA
Workshop on Preventive Macro Prudential Instruments, De Nederlandsche
Bank,
· Roundtable on the Macroeconomic Impact of
Strengthened Capital and Liquidity Requirements, Macroeconomic Assessment Group, Bank for
International Settlements, Basel, 17 May 2010.
· World Bank training hub on
"Macro-Financial Policies", Joint
· Roundtable to discuss contingent capital
and systemic resolution levies, HM Treasury,
· Seminar on "The procyclical
effects of bank capital regulation", DG Internal Market and Services, European
Commission,
· DNB/UvA/IMF
Workshop on Concrete Macro-Prudential Tools, De Nederlandsche Bank,
·
Desayuno de Redacción: "El sistema
financiero mundial tras la crisis", Cinco Días,
Madrid, 12 November 2009. [Media coverage,
in Spanish]
·
Seminario de Discusión Económica y
Financiera: "Supervisión Macroprudencial",
Banco de España, Madrid, 11 November 2009. Comments to presentation by Claudio Borio.
· 10th Bank of Finland/CEPR Conference on
"Credit Crunch and the Macroeconomy",
· BCBS/CGFS roundtable on Systemic
Liquidity Risk,
Bank of France, Paris, 13 October 2009. Invited speaker.
· ECB / DG ECFIN (European Commission)
Workshop "The Crisis: Impact so Far and Possible Lessons", European Central Bank, Frankfurt,
1-2 October 2009. Discussant.
· Bernácer Conference "The future of central
banking: Lessons from the genesis and management of the crisis", Banco de España,
10 June 2009. Panellist. [Transcript]
· CFS Research Conference on "A New
Supervisory Architecture for Europe’s Banking System", Frankfurt, 5 June 2009. Invited
speaker. [Slides]
· CEPR-NCAER Conference on "India in
the G20: Macroeconomic Policy Coordination, Regulation and Global
Governance",
·
2009
International Conference "Financial System and Monetary Policy
Implementation",
Bank of Japan, 27-28 May 2009. Invited speaker. [Conference summary]
· 37th Economics Conference "Beyond
the Crisis: Economic Policy in a New Macroeconomic Environment", Oesterreichische
Nationalbank,
Recent
participation in
externally funded research teams and networks (reverse chronological order)
·
Financial Intermediation and Aggregate Performance, funded by Ministerio de Ciencia e Innovación (PID2022-142998NB-I00), 2023-2025.
·
Economic Analysis of Bank Risk: Implications for
Regulation, Supervision, Resolution, and Macroeconomic Performance, funded by Ministerio de Economía y Competitividad (PGC2018-097044-B-I00), 2019-2021.
·
New Frontiers in Financial Economics, funded by Ministerio de Economía y Competitividad
(ECO2014-59262), 2015-2017.
·
Banking Regulation after the Crisis, funded by Ministerio de Economía y Competitividad (ECO2011-26308), 2012-2014.
·
Corporate Finance and Banking under Information and
Incentive Problems, funded by Ministerio de Ciencia e Innovación
(ECO2008-00801), 2009-2011.
· Regional Comparative Advantage and Knowledge-Based
Entrepreneurship (RICAFE2), funded by the European Commission (RCIT5-CT-2006-028942), 2006-2008.
· The Economics of Intermediation: Real, Financial
and Regulatory Aspects, funded by Ministerio de Educación
y Ciencia (SEJ2005-08875), 2005-2008.
· European Corporate Governance Training Network
(ECGTN), funded by the European Commission (MRTM-CT-2003-504799), 2005-2007.
· Risk Capital and the Financing of European Innovative Firms (RICAFE), funded by the European Commission
(HPSE-CT-2002-00140), 2003-2005.
· Capital and Risk in Banking, funded by Ministerio de Educación y Ciencia
(BEC2002-03034), 2002-2005.
· Understanding Financial Architecture, funded by the European Commission
(HPRN-CT-2000-00064), 2000-2004.
Awards and scholarships
CEMFI MSc Scholarship (1989-1991),
CEMFI Prize to the Best Student of the Class (1991), Pre-doctoral grant from
the Spanish Ministry of Education (1992), Research grant from Fundación BBVA (1993).
V Premio Fundación
Banco Herrero (2006) (5th Fundacion Banco Herrero
Prize for researchers younger than 40 years old in the fields of economics,
business, and social research).
2018 Journal of the European Economic Association
(JEEA) “Excellence in Refereeing Award”.
Useful links
Author page at Google Scholar
Author page at the Social Science Research Network
Author page at CEPR.org
Updated: October 2024