Showing 1 - 10 of 296
In the light of the inequity of the way losses from bank insolvencies and their avoidance through intervention by the …
Persistent link: https://www.econbiz.de/10005134654
This paper proposes a model of how agents adjust their asset holdings in response to losses in general equilibrium. By emphasising the relation between deflation and financial distress, we capture some original features of the early debt-deflation literature, such as distress selling,...
Persistent link: https://www.econbiz.de/10005126279
We propose a Bayesian methodology that enables banks to improve their credit scoring models by imposing prior information. As prior information, we use coefficients from credit scoring models estimated on other data sets. Through simulations, we explore the default prediction power of three...
Persistent link: https://www.econbiz.de/10005134954
We present a model of bank passivity and regulatory failure. Banks with low equity positions have more incentives to be … rates may act as an early warning signal of bank failure. We provide empirical evidence that the balance sheet information … collected by the Czech National Bank is not a better predictor of bank failure than higher deposit rates. This confirms the …
Persistent link: https://www.econbiz.de/10005407910
We link banking and asset prices in a simple monetary macroeconomic model. Our main innovation is to consider how wide-spread default affects the banking system. We find that the interaction of credit, asset prices, and loan losses explains a complete spectrum of outcomes, including financial...
Persistent link: https://www.econbiz.de/10005412610
This paper argues that an optimal deposit insurance scheme would allow the level of insurance coverage to be determined by the market. Based on this principle, the paper proposes an insurance scheme that minimizes distortions and embodies fairness and credibility, two essential characteristics...
Persistent link: https://www.econbiz.de/10005413124
De juridische bescherming van banken en aandeelhouders beïnvloedt de omvang en kwaliteit van het financiële systeem en daarmee de economische groei. Gebrekkige (juridische) instituties in transitie-economieën kunnen de economische ontwikkeling van deze landen dan ook afremmen. Zo dragen...
Persistent link: https://www.econbiz.de/10005413152
through’ the bank balance sheet; once borrowers default, asset prices drive bank capital, and constrained credit in turn …
Persistent link: https://www.econbiz.de/10005413177
This paper analyses the determinants of banks’ loan loss allowances for samples of US banks and three non-US samples: a group of 21 countries, Canada and Japan. The model includes fundamental (or non-discretionary) determinants of the allowance such as non-performing loans, and discretionary...
Persistent link: https://www.econbiz.de/10005561637
This paper analyses bank exit (ie reorganisation and liquidation) legislation in selected financial centres: New York …, London, Frankfurt, Helsinki and Tokyo. The focus is on bank exit legislation applicable to commercial banks. The legislation … is analysed from the perspective of bank stakeholders, ie bank creditors, depositors and bank shareholders. The analysis …
Persistent link: https://www.econbiz.de/10005134685