Narrow search
Showing 1 - 10 of 96
Cover Image
The Political Economy of Dominant Investors
Perotti, Enrico C.; Thadden, Ernst-Ludwig von - Tinbergen Instituut - 2004
claims are exposed to undiversifiable risk, sovoters with small financial stakes may prefer lender (or large share …-holder) dominance, as they choose lower risk strategies. The modelmay explain the "great reversal" phenomenon in the first half of the20 …th century (Rajan and Zingales, 2003), when some financially verydeveloped countries moved towards bank or state control …
Persistent link: https://www.econbiz.de/10011255534
Cover Image
A Pigovian Approach to Liquidity Regulation
Perotti, Enrico; Suarez, Javier - Tinbergen Instituut - 2011
This paper discusses liquidity regulation when short-term funding enables credit growth but generates negative systemic … risk externalities. It focuses on the relativemerit of price versus quantity rules, showing how they target different … incentives for risk creation.When banks differ in credit opportunities, a Pigovian tax on short-term funding is efficient in …
Persistent link: https://www.econbiz.de/10011256463
Cover Image
Incentives for Effective Risk Management
Daníelsson, Jón; Jorgensen, Bjørn N.; Vries, Casper G. de - Tinbergen Instituut - 2001
internal rating based approach. The paper considers how a bank's preference for a risk management system is affected by the … presence of supervision by bank regulators. The model uses a principal–agent setting between a bank's owner and its risk … standard approach subsequent to becoming regulated, i.e., the presence of regulation may induce a bank to decrease the quality …
Persistent link: https://www.econbiz.de/10011255855
Cover Image
The Political Economy of Bank- and Market Dominance
Perotti, Enrico; Thadden, Ernst Ludwig von - Tinbergen Instituut - 2004
environment even when this reduces profits, as labor rents are exposed to undiversifiable firm-specific risk. In general, labor … and lenders prefer less corporate risk, since their claims are a concave function of firm profitability. This congruence … of interests can lead the political majority to support bank over equity dominance. As shareholdings by the median voters …
Persistent link: https://www.econbiz.de/10011255512
Cover Image
Corporate Governance and Leverage: Evidence from a Natural Experiment
Arping, Stefan; Sautner, Zacharias - Tinbergen Instituut - 2010
This discussion paper led to a publication in <A href="http://www.sciencedirect.com/science/article/pii/S1544612310000176"><I>Finance Research Letters</I></A>, 7(2), 127-34.<P>We argue that the recent corporate governance reform in the Netherlands provides a natural experiment to explore the impact of changes in corporate governance on financing policy. We find that, relative to a...</p></i></a>
Persistent link: https://www.econbiz.de/10011255687
Cover Image
The Executive Turnover Risk Premium
Peters, Florian S.; Wagner, Alexander F. - Tinbergen Instituut - 2012
same time, industry risk is, controlling for various other factors, unlikelyto be directly associated with CEO compensation … other than through dismissal risk. Using thisidentification strategy, we document that CEO turnover risk is significantly … positively associatedwith compensation. This finding is important because job-risk compensating wage differentials arisenaturally …
Persistent link: https://www.econbiz.de/10011256296
Cover Image
Rhineland exit?
Bovenberg, Lans; Teulings, Coen N. - Tinbergen Instituut - 2007
of firm-specific risks. Whereas globalisation has increased firm-specific risk by intensifying competition, globalisation … of capital markets has also greatly increased the scope for diversification of firm-specific risk. Diversification of … this risk on the capital market is an efficient form of social insurance. Reducing the claims of workers on the surplus of …
Persistent link: https://www.econbiz.de/10011256667
Cover Image
A Capital Adequacy Buffer Model
Allen, David; McAleer, Michael - Tinbergen Instituut - 2013
circumstances. The model, which measures additional bank capital required to compensate for fluctuating credit risk, is a novel …) which measures additional returns to compensate for additional share price risk. …
Persistent link: https://www.econbiz.de/10011255629
Cover Image
Risk Diversification by European Financial Conglomerates
Slijkerman, Jan Frederik; Schoenmaker, Dirk; Vries, … - Tinbergen Instituut - 2005
We study the dependence between the downside risk of European banks and insurers. Since the downside risk of banks and … insurers differs, an interesting question from a supervisory point of view is the risk reduction that derives from … of the risk distribution. This measure is estimated and indicates better diversification benefits for conglomerates …
Persistent link: https://www.econbiz.de/10011255734
Cover Image
The Political Economy of Financial Systems
Haber, Stephen; Perotti, Enrico - Tinbergen Instituut - 2008
This survey reviews the literature on the political economy of financial structure, broadly defined to include the size of capital markets and banking systems as well as the distribution of access to external finance across firms.The theoretical literature on the institutional basis for...
Persistent link: https://www.econbiz.de/10011255875