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Banks play a pivotal role in economic development globally and so the systemic risk posed by bank failures (for example …, the 2008 global financial crisis) necessitates the creation of a special regime for the insolvency and restructuring of … distressed banks. This special insolvency regime for banks helps to fortify the stability of the financial system and to maintain …
Persistent link: https://www.econbiz.de/10013236351
payments provider (bank or non-bank) could be amplified in unexpected ways as they interact with technological failures at … crisis precipitated primarily by operational failures – such a crisis would look more like a rolling blackout than a bank run …
Persistent link: https://www.econbiz.de/10013241005
being the first major UK bank to fall victim to it in September 2007, and raising major concerns for the stability of the … such as widespread bank runs. It was subsequent to the appreciation of the risk to the overall stability of the financial … subject to pre-existing insolvency law provisions, which had not only been implemented in the context of investment banks in …
Persistent link: https://www.econbiz.de/10013133404
The US subprime crisis intensified after the housing bubble burst, which ultimately resulted in high default rates on higher risk borrowers, such as subprime and other Adjustable Rate Mortgages (ARM). Once the housing prices started to drop sharply, home loan refinancing became more and more...
Persistent link: https://www.econbiz.de/10013134162
eight failed Japanese banks in order to evaluate the predictive power of the DD measure for bank failures. The DD became … smaller in anticipation of failure in many cases. The DD spread, defined as the DD of a failed bank minus the DD of sound … banks, was also a useful indicator for deterioration of a failed bank's health. For some banks, neither the DD nor the DD …
Persistent link: https://www.econbiz.de/10013141241
Australia's corporate insolvency regime strives to provide flexible measures that allow stakeholders of a financially … distressed company to come to a mutually beneficial arrangement. As with all insolvency laws, it is possible to bind dissenting … creditors to the will of the majority in resolving these disputes. How flexible should corporate insolvency law be in …
Persistent link: https://www.econbiz.de/10013142840
December 2008. The results point to two-way causality between bank and corporate distress and to significant global … advanced economies has a larger impact on economic growth in emerging economies than bank distress in advanced economies has …. In contrast, activity in advanced economies is more vulnerable to bank distress than to corporate distress …
Persistent link: https://www.econbiz.de/10013142945
This paper argues that a special bank bankruptcy regime is desirable for the efficient restructuring and/or liquidation … to better mitigate disruptions in the financial system and minimize the social costs of bank distress. We compare the U ….S., UK, and German bank bankruptcy frameworks and describe the EU framework for cross-border bank bankruptcy. We support our …
Persistent link: https://www.econbiz.de/10013118965
This paper empirically investigates the causes of bank failures in Japan and Indonesia. Using logistic regression … analysis of financial ratios, we explore the usefulness of domestic bank failure prediction models with a cross-country model …, deposits and in some cases the ratio of non-performing loans, are the most significant predictors of bank failure in both Japan …
Persistent link: https://www.econbiz.de/10013121773
This paper empirically investigates the causes of bank failures in Japan and Indonesia. Using logistic regression … analysis of financial ratios, we explore the usefulness of domestic bank failure prediction models with a cross-country model …, deposits and in some cases the ratio of non-performing loans, are the most significant predictors of bank failure in both Japan …
Persistent link: https://www.econbiz.de/10013121776