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This paper presents an overview of the Japanese system to deal with the distress of banks, providing a classification of the regulation and remedies based on the level of systemic risk of the troubled entity. The paper differentiates between the types of actions available and analyses in detail...
Persistent link: https://www.econbiz.de/10012960405
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Economists have dominated U.S. scholarship about the S&L debacle and they have universally viewed the regulatory response as horrific. This paper argues that the conventional economic wisdom is badly flawed. The U.S. regulatory response to the debacle was disastrous – when economists shaped it...
Persistent link: https://www.econbiz.de/10013148988
This paper examines the ramification of government capital injections into financially distressed banks during the 1997 Japanese banking crisis. By leveraging a unique dataset merging firm-level financial statements and bank balance sheets, the study aims to examine whether the capital...
Persistent link: https://www.econbiz.de/10014334373
risk in the banking system through liquidity risk reduction. Political theories see liability insurance as serving the …
Persistent link: https://www.econbiz.de/10012993526
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This paper analyzes the liquidity condition of the fixed-income market in Japan, based on Hu, Pan and Wang (2013). We … result indicates that the liquidity premium has increased with time since the BOJ announced its new monetary policy, although … the liquidity premium has continued to decrease over a longer period of time. We also show that the Security Lending …
Persistent link: https://www.econbiz.de/10012899025
Taking advantage of the physical settlement of Japanese government bond (JGB) futures, this paper firstly evaluates the role of central counterparties (CCPs) in the over-the-counter market during the 2008-2009 financial crisis. Our result shows that the special premium on the settlements through...
Persistent link: https://www.econbiz.de/10012852933
The recent financial crisis highlighted that balance sheet exposures can be a major shock transmission channel. Using sectoral accounts data in combination with data from the Coordinated Portfolio Investment Survey, International Investment Position, and BIS this paper estimates bilateral...
Persistent link: https://www.econbiz.de/10013021439