That said, markets have clearly been taking a general view that banks should source more of their funding from deposits rather than from short-term wholesale liabilities, and there is no doubt that this has been a factor in market pricing in the post-crisis environment.
It’s also clear that prospective regulatory developments are going to put more emphasis on stable deposit funding, although there are many details of this still to be worked out. A second factor is that the crisis made non-deposit sources of funding more expensive, or in some cases more difficult for lending institutions to obtain, than was previously the case.