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by assessing the relation between bank size and market power. We use an extended version of the Panzar-Rosse (P-R) model … that allows bank size to affect market power. Based on a large sample of more than 18,000 banks in 101 countries comprising … more than 112,000 bank-year observations, we show that market power varies with bank size. Large banks have substantially …
Persistent link: https://www.econbiz.de/10005021844
Measuring bank performance solely on the basis of profitability conveys significant information about past performance …
Persistent link: https://www.econbiz.de/10010562428
This study examines the emergence of financial stability as a key police objective. It discusses the underlying trends in the financial system, as well as the role of finance in relation to money, the real economy and public policy. Financial stability is defined in terms of its ability to help...
Persistent link: https://www.econbiz.de/10010945590
In this study we disentangle two dimensions of banks' systemic risk: the level of bank tail risk and the linkage … between a bank's tail risk and severe shocks in the financial system. We employ a measure of the systemic risk of financial … bank characteristics are related to bank tail risk and systemic linkage. The interrelationship between bank characteristics …
Persistent link: https://www.econbiz.de/10010945596
This paper investigates how changes in the monetary policy framework have affected the overnight money market lending rate for the Dutch segment of the euro area during tranquil and crisis times. We present an EGARCH model on the volatility of the overnight lending rate. The results show that...
Persistent link: https://www.econbiz.de/10011004570
This paper reviews studies exploring how higher bank capital requirements affect economic growth. There is little … evidence of a direct effect; research focuses on the indirect effects of capital requirements on credit supply, bank asset risk …, and cost of bank capital, which in turn can affect economic growth. Banks facing higher capital requirements can reduce …
Persistent link: https://www.econbiz.de/10011213677
banks. However if in extreme scenarios the LCR becomes a binding constraint, the interaction of bank behaviour with the …-testing model, which takes into account the impact of bank reactions on second round feedback effects. We show that a flexible …
Persistent link: https://www.econbiz.de/10010543516
) the collateral's amount and use and 5) bank run signs. This information can be used both for monitoring the TARGET2 …
Persistent link: https://www.econbiz.de/10009292423
, multinational bank subsidiaries had to slow down credit growth about twice as fast as domestic banks. This was in particular the …
Persistent link: https://www.econbiz.de/10009385894
Using a new, comprehensive database on bank ownership, identifying also the home country of foreign banks, for 137 … countries over the period 1995-2009, this paper provides an overview of foreign bank activity and its impact of financial … development and stability. We document substantial increases in foreign bank presence, especially in emerging markets and …
Persistent link: https://www.econbiz.de/10009390614