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How do dividend policy decisions affect a firm's stock price, is a widely researched topic in the field of investments and finance but still it remains a mystery that whether dividend policy affects the stock prices or not. There are those who suggest that dividend policy is irrelevant because...
Persistent link: https://www.econbiz.de/10013000088
We document that, since 2011, mortgage lenders reduced credit to middle-class households by 15% and increased credit to wealthy households by 21%. Credit to low-income households was unaffected. Results hold at the individual-loan level and zip-code level, and at the intensive margin and...
Persistent link: https://www.econbiz.de/10012968262
This paper builds a model of populism called Democratic Rioting in which citizens – i.e. the poor and the rich - are assumed to be heavily influenced by psychological group dynamics that result from banking shocks. We highlight a display of anger that is channelled through an election instead...
Persistent link: https://www.econbiz.de/10012210745
In the aftermath of the global financial crisis, US regulators have required banks to disclose more details regarding the valuation techniques of their traded assets and liabilities. Using data from 2013 and 2014 annual reports for nine primary dealers, we examine the determinants of the choice...
Persistent link: https://www.econbiz.de/10012936340
The financial sector bailouts seen during the Great Recession generated substantial opposition and controversy. We assess the welfare benefits of government-funded emergency support to the financial sector, taking into account its effects on risk-taking incentives. In our quantitative general...
Persistent link: https://www.econbiz.de/10012670295
Tighter capital requirements and mandatory deferral of compensation are among the most prominently advocated regulatory measures to reduce excessive risk-taking in the banking industry. We analyze the interplay of the two instruments in an economy with two heterogenous banks that can fund...
Persistent link: https://www.econbiz.de/10013050406
Several countries now require banks or money market funds to impose state-contingent costs on short-term creditors to absorb financial stress. We study these requirements as part of the broader prudential toolkit using a model with five key ingredients: banks may face an aggregate stress state...
Persistent link: https://www.econbiz.de/10015435820
Persistent link: https://www.econbiz.de/10013362931
This paper examines the multi-dimensional efficiency of the Islamic banking sector and its determinants, including the … frontiers to evaluate the overall efficiency of 79 Islamic banks across 16 countries (2005-2020). In the first-stage analysis …, we found that the Islamic banking sector experienced an increasing trend in its efficiency and performance, even during …
Persistent link: https://www.econbiz.de/10013550036
Persistent link: https://www.econbiz.de/10014429153