correlation of incentive pay with both the level and volatility of bank trading income -particularly for the pre-crisis period … markets divisions with the strength of incentive pay in unrelated bank divisions like retail banking. Moreover, pre …

regulatory requirements. Our analytic characterization of the bank policy choices shows that imposing solely liquidity … requirements leads to lower bank losses in default at the cost of an increased likelihood of default. Combining liquidity … requirements with leverage requirements reduces drastically both the likelihood of default and the magnitude of bank losses in …

The cost of bank funding on money markets is typically the sum of a risk-free rate and a spread that reflects rollover … usefully complements its spot equivalent, the IBOR-OIS spread, in the monitoring of bank funding risk in real time. First, it … power for economic growth and bank lending in the United States and the euro area than the spot IBOR-OIS, credit default …

contributes to the current debate on the optimal scope of bank activities, and highlights novel channels through which …

comprehensive sample that combines an original set of bank-specific bailout events with balance sheets of key affected and non …