Showing 1 - 10 of 1,101
This paper develops a model where large financial intermediaries subject to systemic runs internalize the effect of their leverage on aggregate risk, returns and asset prices. Near the steady-state, they restrict leverage to avoid the risk of a run which gives rise to an accelerator effect. For...
Persistent link: https://www.econbiz.de/10013305673
The paper analyzes the relationship between bank competition and stability, with a specific focus on the Middle East … and North Africa. Price competition has a positive effect on bank liquidity, as it induces self-discipline incentives on … banks for the choice of bank funding sources and for the holding of liquid assets. On the other hand, price competition may …
Persistent link: https://www.econbiz.de/10013011203
approaches and prudential considerations in fostering financial innovation and banking sector competition …
Persistent link: https://www.econbiz.de/10013305629
the probability of financial crisis. It finds that greater tax bias is associated with significantly higher aggregate bank …
Persistent link: https://www.econbiz.de/10013085611
provide guidance to policymakers regarding bank privatization …
Persistent link: https://www.econbiz.de/10013318096
be detrimental to bank stability, the more so where bank interest rates are deregulated and the institutional environment … is weak. Also, the adverse impact of deposit insurance on bank stability tends to be stronger when the coverage offered …
Persistent link: https://www.econbiz.de/10013317984
have been reluctant to do so. Provided the market expects a bank to rebuild its buffers, any draw-down will open up a … capital shortfall that will weigh on its share price. Therefore, a bank will only decide to use its buffers if the value …
Persistent link: https://www.econbiz.de/10013295136
Community (EAC) countries2. The results show that the degree of competition is low due to a combination of structural and socio …
Persistent link: https://www.econbiz.de/10013111386
This paper investigates macroprudential policy effects on bank systemic risk and the role of inflation targeting in … such effects. Using bank-level data for 45 countries comprising various monetary and exchange rate regimes, our regime … tightening of most macroprudential tools—including DSTI and LTV limits, and capital requirements—reduces bank systemic risk …
Persistent link: https://www.econbiz.de/10014354108
The 2008/9 financial crisis highlighted the importance of evaluating vulnerabilities owing to interconnectedness, or Too-Connected-to-Fail risk, among financial institutions for country monitoring, financial surveillance, investment analysis and risk management purposes. This paper illustrates...
Persistent link: https://www.econbiz.de/10013147114