Beganau, Juliane; Bigio, Saki; Majerovitz, Jeremy; … - 2021 - Last updated: September 24, 2021
We document five facts about banks: (1) market and book leverage diverged during the 2008 crisis, (2) Tobin's Q …, the adjustment shifted towards retaining earnings. We present a Q-theory where notions of leverage differ because book …