the COVID-19 pandemic, we use the European bank stress test results as a natural experiment, in which all banks are … analyzes the implications of the change from IAS 39 to IFRS 9 in the context of bank resilience. We shed light on two effects … bank resilience through lower capital levels. In the absence of archival data of IFRS 9 and their potential biases due to …

provisions tend to be more procyclical at larger and better capitalized banks. The procyclicality of loan loss provisions can … explain about two-thirds of the variation of bank capitalization over the business cycle. We estimate that provisioning … procyclicality in the euro area is about twice as large as in other advanced economies. This difference reflects a larger …

investigate two increasingly significant margins of adjustment in credit markets: banks' ability to sell loans and shadow bank … following bank capital shock. Recovery is also faster, because profitable loan sales (e.g., securitization) allow banks to build …Existing macroeconomic models focused on bank balance sheet lending are deficient because they do not account for the …