| Article ID: | iaor20164531 |
| Volume: | 64 |
| Issue: | 5 |
| Start Page Number: | 1135 |
| End Page Number: | 1142 |
| Publication Date: | Oct 2016 |
| Journal: | Operations Research |
| Authors: | Amini Hamed, Filipovic Damir, Minca Andreea |
| Keywords: | risk |
We show that partial versus full multilateral netting of interbank liabilities increases bank shortfall and reduces clearing asset price and aggregate bank surplus. We also show that partial multilateral netting can be worse than no netting at all.