case of free riding. As the number of lending banks grows, the chance of meeting again a bank and of being punished for …. We develop a repeated game in which banks come across each other frequently, allowing them to threaten a punishment in … restructuring probability increases with the number of banks up to a threshold - three banks - beyond which coordination problems …

-based capital regulation significantly affected low capitalized banks. The impact depends on a bank's credit risk model, i …This paper examines how Basel III capital reforms affected bank lending in Ger- many. We focus on the increase of ….e. whether a bank applies the standardized approach (SA) or an internal ratings-based approach (IRBA) to determine risk weights …

The paper adds a moral hazard problem between banks and depositors as in Gertler and Karadi (2011) to a DSGE model with … a costly state verification problem between entrepreneurs and banks as in Bernanke, Gertler and Girlchrist (1999, BGG … productivity shocks. It allows the model to match the volatility and correlation with output of the external finance premium, bank …

We apply control rights theory to explain the structure and determinants of financial covenants in private equity …

We analyze the relationship between bank size and risk-taking under the New Basel Capital Accord. Using a model with … flat capital requirements if the approach is applied uniformly across banks and if the costs of implementation are not too … high. However, the banks' right to choose between the standardized and the IRB approaches under Basel II gives larger banks …

commercial bank, the authors choose Archimedean Copula to fit the default relationship between loans, combined with the loss …-adjusted returns, higher economic capital adequacy ratios, and ultimately stronger banks' capabilities to tolerate risk events … not only to the banks' management, but also to banking regulators as well. …