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This article analyzes the impact of capital structure and bank liquidity on the performance of commercial banks in … empowering EPS. Our findings also document the positive impacts of bank funding liquidity on the performance of commercial banks … Vietnam, a transition market in Asia. This research is unique because it is the first study to employ the Bayesian Estimation …
Persistent link: https://www.econbiz.de/10015074930
regulatory requirements. Our analytic characterization of the bank policy choices shows that imposing solely liquidity … requirements leads to lower bank losses in default at the cost of an increased likelihood of default. Combining liquidity …We develop a dynamic model of banking to assess the effects of liquidity and leverage requirements on banks' insolvency …
Persistent link: https://www.econbiz.de/10011293576
it reflects special liquidity benefits of bank debt. Even aside from neglecting the systemic damage to the economy that …-faire are inefficient and involve excessive borrowing, with default risks that jeopardize the purported liquidity benefits …
Persistent link: https://www.econbiz.de/10011977827
because it reflects special liquidity benefits of bank debt. Even aside from neglecting the systemic damage to the economy … laissez-faire are inefficient and involve excessive borrowing, with default risks that jeopardize the purported liquidity …
Persistent link: https://www.econbiz.de/10011925841
We develop a dynamic structural model of bank behaviour that provides a microeconomic foundation for bank capital and … liquidity structures and analyses the effects of changes in regulatory capital and liquidity requirements as well as their …
Persistent link: https://www.econbiz.de/10011975498
, policymakers, and bank managers for better decision making. …
Persistent link: https://www.econbiz.de/10012655130
ratio on commercial bank risk-taking over the period from 2002 to 2019 using a two-step GMM method. The finding reveals that … supported by the regulatory hypothesis. The results are same across various categories based on capitalization and liquidity …
Persistent link: https://www.econbiz.de/10012649561
Persistent link: https://www.econbiz.de/10013002918
incentives both discipline bankers, but with different consequences. Greater use of equity leads to lower ex ante bank liquidity …We consider a model in which the threat of bank liquidations by creditors as well as equity-based compensation …, whereas greater use of debt leads to a higher probability of inefficient bank liquidation. The bank's privately …
Persistent link: https://www.econbiz.de/10012972368
Making use of a structural model that allows for optimal liquidity management, we study the role that repos play in a … bank's financing structure. In our model the bank's assets consist of illiquid loans and liquid reserves and are financed … to an exogenous rollover risk. We show that the use of repos inflicts two types of indirect (“shadow”) costs on the bank …
Persistent link: https://www.econbiz.de/10011293473