ARTICLE IN PRESS


SECTION 3

Financial-Real Connections
ARTICLE IN PRESS
                   ARTICLE IN PRESS


Wholesale Banking and Bank Runs
in Macroeconomic Modeling
of Financial Crises
M.
*
  Gertler*,,{, N. Kiyotaki*,,{, A. Prestipino*,,{
NYU, New York, NY, United States

Princeton University, Princeton, NJ, United States
{
Federal Reserve Board of Governors, Washington, DC, United States

Contents
1. Introduction                                      1346
2. The Growth and Fragili ...