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on European banks is exploited with simulated scale-free networks. The average contagion affected 70% and 40% of European … banks’ total assets in 2007 and in 2010, respectively. Country-level results suggest that French, British, German and … Spanish banks are the most contagious ones, whereas banks from Ireland, Greece and Portugal induce only limited negative …
Persistent link: https://www.econbiz.de/10010818996
volumes remain essentially unchanged, because banks previously specializing in low-risk lending can adapt by granting both low …
Persistent link: https://www.econbiz.de/10009003108
We show how banks’ excessive risk-taking, stemming from informational asymmetries in loan markets, can lead to an …
Persistent link: https://www.econbiz.de/10008774238
Although beneficial allocational effects have been a central motivator for the Basel II capital adequacy reform, the interaction of these effects with Basel II’s procyclical impact has been less discussed. In this paper, we investigate the effect of capital requirements on the allocation of...
Persistent link: https://www.econbiz.de/10008496441
Although beneficial allocational effects have been a central motivation for the Basel II capital adequacy reform, the interaction of these effects with Basel II’s procyclical impact has been less discussed. In this paper, we investigate the effect of Basel II on the efficiency of bank lending....
Persistent link: https://www.econbiz.de/10005648952
Persistent link: https://www.econbiz.de/10011790739
Persistent link: https://www.econbiz.de/10011301298
the situation of the Finnish local banks in the late 1980s and the early 1990s, particularly with regard to capital …
Persistent link: https://www.econbiz.de/10005648913
This paper studies the competitive and efficiency implications of financial conglomeration driven by cost-efficiency gains in monitoring credit and insurance customers. The analysis shows that conglomeration is conducive to tougher competition in the credit market and increases profit in...
Persistent link: https://www.econbiz.de/10005648939
Building on Cecchetti and Li (2005), we show that the bank lending channel affects monetary policy trade-offs only when interest rates affect marginal costs of production (ie when there is a cost channel of monetary policy) in the New Keynesian monetary policy model. In our calibrated model the...
Persistent link: https://www.econbiz.de/10005648972