We develop a dynamic structural model of bank behaviour that provides a microeconomic foundation for bank capital and …

This paper provides the first empirical evidence that bank regulation is associated with cross-border spillover effects … different localities across 16 countries. We find that lower barriers to entry, tighter restrictions on bank activities, and … higher minimum capital requirements in domestic markets are associated with lower bank lending standards abroad. The effects …

Prior to the financial crisis, prudential regulation in the EU was implemented non-uniformly across countries, as … framework were more likely to require public support during the crisis. We instrument some characteristics of bank balance … sheets with these prudential indicators to investigate how they affect bank resilience. The share of non-interest income …

This paper studies optimal second-best corrective regulation, when some agents/activities cannot be perfectly regulated … apply our results to scenarios with unregulated agents/activities, uniform regulation across agents/activities, and costly … regulation. We illustrate our results in applications to financial regulation with environmental externalities, shadow banking …

has partial control over bank regulation it can exercise regulatory lenience. Two, the Fed's stronger output orientation …From the onset of the 2007-2009 crisis, the Federal Reserve and the European Central Bank have aggressively lowered … procyclical capital regulation …

We analyse the cross-border propagation of prudential regulation in the euro area. Using the Prudential Instruments …-specific capital buffers in the countries where their parent banks reside and that bank size and liquidity play a role in determining …

We study the impact of increasingly negative central bank policy rates on banks' propensity to become undercapitalized …