We show how banks' excessive risk-taking, stemming from informational asymmetries in loan markets, can lead to an …

disciplining banks. Under our proposal, investors buy the subdebt of a bank only if they receive favourable information about the … bank, and the bank is subject to a regulatory examination if it fails to issue subdebt. By forcing banks to be examined … when they are likely weak, subdebt regulation not only reduces the chance that managers of distressed banks can take value …

volumes remain essentially unchanged, because banks previously specializing in low-risk lending can adapt by granting both low …

​We aim to assess how accurately accounting and stock market indicators predict rating changes for Asian banks. We … indicators but are more effective in predicting upgrades than downgrades, especially for large banks. Moreover, early indicators … are only significant in predicting rating changes for banks that are more focused on traditional banking activities such …

In this study, we reinvestigate the question of whether government banks are inferior to private banks. We use cross … country data from 1993 to 2007 to trace the different types of government banks. These types comprise banks that acquire … distressed banks, normal banks, or no banks at all. Contrary to common belief, the evidence shows that unless government banks …

. We show that, under stringent Pillar 3 disclosure requirements, banks' equilibrium probability of success and total …