asset allocations. The cap is shown to lower banks' riskand raise banks' values by acting against a competitive externality … used for Macroprudential Regulationto encourage banks to move resources away from wholesale banking to the retail …

This paper presents a simple model of risk-averse banks that face uncertainty over funding conditions in the money … consumer welfare, and can turn deposits into a "loss leader" for banks. …

This paper studies the contracting problem between banks and their bankers, embedded in a competitive labour market for … banker talent.  To motivate effort banks must use some variable remuneration.  Such remuneration introduces a risk … between banks for bankers rises it becomes more expensive to manage the risk-shifting problem than the moral hazard problem …

calibrated against UK data. The model comprises a household sector, three active heterogeneous banks, a central bank … in our model, i.e. banks` probabilities of default and banks` profits - to a proxy of welfare. …

The objective of this paper is to propose a model to assess risk for banks. Its main innovation is to incorporate … endogenous interaction between banks, recognising that the actual risk to which an individual bank is exposed also depends on its … interaction with other banks and other private sector agents. To this end, we develop a two-period general equilibrium model with …

unweighted leverage ratio, we find the risk-weighted asset ratio to be a superior predictor of bank failure when banks operate … leverage ratio is the more reliable predictor.  However, when banks do not operate under Basel II rules, both ratios perform … banks with low initial levels of Tier 1 capital and in banks that adopted Basel II rules early.  We find tangible common …

allocations, which supports the view that IPO allocations are part of implicit quid pro quo deals with investment banks. …