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We propose a quantitative model of lending standards with two reasons for inefficient credit: lenders' moral hazard from deposit insurance or government guarantees, and imperfect information about the persistence of asset price growth, which generates incorrect but rational beliefs in the...
Persistent link: https://www.econbiz.de/10015241660
1996 and 1997. The sections on the Bulgarian National Bank and the money supply reflect the changes brought about by the …
Persistent link: https://www.econbiz.de/10015242630
In the first essay, Calomiris argues that the most desirable means by which to achieve banking system stability is to permit unlimited branch banking combined with the type of privately administered formal deposit insurance programs of antebellum Indiana, Ohio, and Iowa. In the second essay,...
Persistent link: https://www.econbiz.de/10015243754
This study models the impact of new capital regulations proposed under Basel III on bank profitability by constructing … a stylized representative bank’s financial statements. We show that the higher cost associated with a one … scheduled commercial banks, one-percentage point increase in capital ratio can be recovered by increasing the bank lending …
Persistent link: https://www.econbiz.de/10015243990
This study models the impact of new capital regulations proposed under Basel III on bank profitability by constructing … a stylized representative bank’s financial statements. We show that the higher cost associated with a one … scheduled commercial banks, one-percentage point increase in capital ratio can be recovered by increasing the bank lending …
Persistent link: https://www.econbiz.de/10015244010
This paper studies the impact of unconventional monetary policy on the economy and its interactions with bank … supervisory rules. In particular, we look at the impact of liquidity injections (quantitative easing) and repurchases of impaired … with stricter bank regulation, we find that qualitative easing becomes more effective in terms of reducing losses in GDP …
Persistent link: https://www.econbiz.de/10015246262
The main purpose of this study is to investigate the interaction between financial liberalization, banking crisis and economic growth by taking into consideration the role of institutions. Our sample covers ten Middle East and North African (MENA henceforth) observed during the period 1990-2013....
Persistent link: https://www.econbiz.de/10015247717
We describe an example of designing, implementing and calibrating two macroprudential instruments – loan-to-value (LTV) and debt service-to-income (DSTI) – based on a decade of Romanian experience with these tools. We investigate LTV and DSTI effectiveness in trimming down excessive credit...
Persistent link: https://www.econbiz.de/10015248601
In December 2013 the National Bank of Belgium introduced a sectoral capital requirement aimed at strengthening the …
Persistent link: https://www.econbiz.de/10015257174
Growing non-performing assets is a recurrent problem in the Indian banking sector. Over the past two decades, there have been two such episodes when the banking sector was severely impaired by balance sheet problems. In this paper we do a comparative analysis of the two banking crisis...
Persistent link: https://www.econbiz.de/10015257474