The 2008 UniCredit Conference on Banking and Finance Beyond the Illusion of Risk Diffusion Vienna, 6-7 November 2008 Octagon room of Bank Austria, 1010 Vienna, Am Hof 2 Program Thursday, 6 November 13:00 - 13:30 Registration 13:30 - 14:00 Welcome Speech Alessandro Profumo (CEO, UniCredit Group) 14:00 - 16:00 SESSION 1 Chair: Marcello De Cecco (Scuola Normale Superiore di Pisa and Unicredit Re search Board) Credit Booms and Lending Standards: Evidence from the Subprime Mortgage Market Giovanni Dell'Ariccia (International Monetary Fund ) Deniz Igan (International Monetary Fund) *Luc Laven (International Monetary Fund) Discussant: Thorsten Beck (Tilburg University) The Effect of CEO Stock Options on Bank Investment Choice, Borrowing, and C apital *Hamid Mehran (Federal Reserve Bank of New York) Joshua Rosenberg (Federal Reserve Bank of New York) Discussant: Joerg Rocholl (European School of Management and Technology) 16:00-16:30 Break 16:30 - 18:30 SESSION 2 Chair: Josef Zechner (Vienna University of Economics and Business Administr ation) Stochastic House Appreciation and Optimal Mortage Lending *Tomasz Piskorski (Columbia University) Alexei Tchistyi (New York University) Discussant: Joao Cocco (London Business School) Manipulation of Collateral Values by Borrowers and Intermediaries Itzhak Ben-David (Ohio State University) Discussant: Loriana Pelizzon (University of Venice) 19:00 Conference dinner Friday, 7 November 9:00- 11:00 SESSION 3 Chair: Fabrizio Onida (Bocconi University and UniCredit Research Board) Laying off Credit Risk: Loan Sales versus Credit Default Swaps Christine A. Parlour (University of California, Berkeley) *Andrew Winton (University of Minnesota) Discussant: Alan Morrison (Oxford Said Business School) Information asymmetries in the interbank market: theory and policy responses *Florian Heider (European Central Bank) *Marie Hoerova (European Central Bank) Cornelia Holthausen (European Central Bank) Discussant: Ana Babus (University of Cambridge) 11:00 - 11:30 Break 11:30 - 12:30 Keynote lecture Chair: Marco Pagano (University of Neaples and UniCredit Research Board) Doug Diamond (University of Chicago) 12:30 - 14:00 Lunch 14:00 - 16:00 SESSION 4 Chair: Elena Carletti (European University Institute) Does Monetary Policy Affect Bank Credit Standards? *Angela Maddaloni (European Central Bank) *Jose Luis Peydro (European Central Bank) Silvia Scopel (European Central Bank) Discussant: Martin Summer (Austrian Central Bank) Financial Crises and Bank Liquidity Creation Allen Berger (University of South Carolina) *Christa Bouwman (Case Western Reserve University) Discussant: Steven Ongena (Tilburg University)