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This paper addresses the impact of developments in the credit risk transfer market on the viability of a group of systemically important financial institutions. We propose a bank default risk model, in the vein of the classic Merton-type, which utilizes a multi-equation framework to model...
Persistent link: https://www.econbiz.de/10010278859
The frequency with which firms adjust output prices helps explain persistent differences in capital structure across firms. Unconditionally, the most exible-price firms have a 19% higher long-term leverage ratio than the most sticky-price firms, controlling for known determinants of capital...
Persistent link: https://www.econbiz.de/10011615872
Global financial regulators are currently reflecting on the nature of the insurance business. Specifically, they are … trying to classify insurance into traditional' and non-traditional' activities, and to distinguish them from non-insurance … international finance is what is insurance and where does insurance end?' This paper aims to elaborate on the economics of insurance …
Persistent link: https://www.econbiz.de/10010480802
from space, and investigate whether insurance claim payments for damaged residential property affected the local recovery … event, more than 95% of residential housing units were covered by insurance, but insurance payments were staggered over 5 … and describe the recovery’s determinants. We also find that insurance payments contributed significantly to the process of …
Persistent link: https://www.econbiz.de/10011872088
Guaranteed renewability is a prominent feature in many health and life insurance markets. It is well established in the … fair price for low risk types provides full insurance against reclassification risk. We develop a model that includes … unpredictable (and unobservable) fluctuations in demand for life insurance as well as changes in risk type (observable) over …
Persistent link: https://www.econbiz.de/10011887363
can be used to self-insure, substituting for both formal and informal insurance. We investigate this question using a … remittances, which supports the idea that remittances act as (self-) insurance. We also show that purchasing formal funeral cover … is influenced by other risk management strategies and that determinants of informal insurance differ from those of formal …
Persistent link: https://www.econbiz.de/10010270469
, while simultaneously hedging the risks associated with the alternation of bullish and bearish non-pandemic states. These …
Persistent link: https://www.econbiz.de/10012425664
study is on determining whether a lack of health insurance significantly impacted vaccination propensities. If it is indeed … the case that a lack of health insurance mattered, this would be informative for policymakers since they tried to address … vaccines were made available free of cost to the public in the United States, irrespective of their insurance status. A policy …
Persistent link: https://www.econbiz.de/10014290107
, and climate change is predicted to intensify this problem. The Index-Based Livestock Insurance (IBLI) scheme piloted in …
Persistent link: https://www.econbiz.de/10014377398
that hardly explains the many features of an insurance contract. We extend this setup to include the situation that the … show how the law of insurance contracts should allow insurers to incentivize policyholders to exert an adequate level of …
Persistent link: https://www.econbiz.de/10011744975