Semenova, Maria; Andrievskaya, Irina - National Research University Higher School of Economics - 2012
Market discipline is usually studied in the retail or the corporate deposit markets, while the interbank loan market is … disregarded. Banks' abilities to exert market discipline are taken for granted, as they are expected to have the expertise to … the whole banking system, as banks are tightly interconnected. We provide some evidence for market discipline in the …