Showing 1 - 10 of 15,811
Through the compulsory participation of junior investors in bearing losses of their failing bank, the bailin attempts … to limit bail-outs' side-effects in terms of market discipline, too-big-to-fail, bank-sovereign nexus and risk …-in effects on bank resilience appear mixed. While it incentivises banks to reduce risk-taking (e.g., increasing risk …
Persistent link: https://www.econbiz.de/10013168204
The paper focuses on the interaction between the solvency probability of a banking firm and the diversification potential of its asset portfolio when determining optimal equity capital. The purpose of this paper is to incorporate value at risk (VaR) into the firm-theoretical model of a banking...
Persistent link: https://www.econbiz.de/10009768157
The article deals with the liquidity risk in the banks in the context of the financial crisis. At first, the balance sheet and market liquidity are defined and the main principles of the methods for measuring liquidity risk, which banks use, are identified. Then follow review of main challenges...
Persistent link: https://www.econbiz.de/10011460084
We estimate a structural model of bank portfolio lending and find that the typical U.S. community bank reduced its … effects (consistent with a reduction in the liquidity of assets held on bank balance sheets) and by reduced loan supply …
Persistent link: https://www.econbiz.de/10013036540
After a steady increase following the global financial crisis, private nonfinancial sector leverage rose further during the COVID-19 on the back of easy financial conditions induced by unprecedented policy support. We investigate the empirical relationships between increased leverage, financial...
Persistent link: https://www.econbiz.de/10013305586
cutoff depends on the degree of bank competition. It is therefore expected to vary across countries and over time …The recent global financial crisis has ignited a debate on whether easy monetary conditions can lead to greater bank …
Persistent link: https://www.econbiz.de/10013131455
unprecedentedly during the recent financial crisis, may impose indirect costs to financial stability if bailout expectations of … participants adjusted their bailout expectations in response to government interventions, undermining market discipline mechanisms …
Persistent link: https://www.econbiz.de/10011729999
In the emerging consensus view on reforming bank capital requirements, the need for increased regulatory capital and … demonstrate that it is optimal to increase capital requirements mainly based on sub-ordinate bank debt against the alternative of …
Persistent link: https://www.econbiz.de/10013145383
Persistent link: https://www.econbiz.de/10010191434
literature. This paper seeks to study the determinants of bank asset quality and profitability using panel data techniques and … contrary to the general perception. Similarly, with regard to rural bank branches, the results reveal that aversion to rural …
Persistent link: https://www.econbiz.de/10010507831