competitive environment affect bank monitoring choices and the effectiveness of capital regulation? Our approach deviates from the …We assess the influence of competition and capital regulation on the stability of the banking system. We particularly … ask two questions: i) how does capital regulation affect (endogenous) entry; and ii) how do (exogenous) changes in the …

: EXTENSION OF CREDIT RISK+ WITH CORRELATED FACTORS -- IX. MODEL SUMMARY -- X. NUMERICAL IMPLEMENTATION -- XI. NUMERICAL EXAMPLES … USING THE CREDIT RISK TOOLBOX -- XII. CONCLUSION -- PROBABILITY AND MOMENT GENERATING FUNCTIONS -- References. …

presence of supervision by bank regulators. The model uses a principal-agent setting between a bank's owner and its risk … standard approach subsequent to becoming regulated, i.e., the presence of regulation may induce a bank to decrease the quality … internal rating based approach. The paper considers how a bank's preference for a risk management system is affected by the …

How do near-zero interest rates affect bank competition, risk taking and regulation? I study these questions in a … insurance may induce excessive risk taking. The zero lower bound on deposit rates (ZLB) distorts bank competition and boosts … risk shifting incentives, particularly if rates are expected to remain near-zero for long. At the ZLB, capital regulation …

stand-alone agencies, though, a majority of bank supervisors are part of a central bank. The survey asked respondents about … accountability. Most agencies reported having operational independence. Bank supervisors were unique in viewing financial stabili …