), profitability (P), and risk (R) with bank leverage (TDCE). This suggests that profitable banks are inclined to favour debt financing … findings showed positive associations between ZSCORE, an indicator of bank financial stability, and net interest margin ratio … (NIMR) with bank leverage (TCTE). In addition, the results revealed positive correlations between earnings volatility (EV …

Bank balance sheet lending is commonly viewed as the predominant form of lending. We document and study two margins of … document the limits of the shadow bank substitution margin: shadow banks substitute for traditional—deposit-taking—banks in … quantitative consequences of several policies on lending volume and pricing, bank stability, and the distribution of consumer …

-section of individual bank portfolio decisions. For this purpose, an augmented version of the DSGE model of Gertler and Karadi … (2013), featuring a segmented banking sector, is estimated for the euro area and combined with a bank portfolio optimisation … approach using granular bank level data. An important feature of our modelling approach is that it captures the heterogeneity …

This paper investigates whether greater competition increases or decreases individual bank and banking system risk … bank deregulation, we provide robust evidence that greater competition increases both individual bank risk and a bank … associated with higher stand-alone risk of individual banks, greater sensitivity of a bank's downside equity risk to system …