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volatility of growth and profitability are bank-size dependent, and (iii) the relationship between growth and profitability of a … bank. Using a dynamic panel model estimated by GMM for a mixed sample of more than 1500 banks from 65 countries, we find no … evidence of persistence in bank growth. However, our findings suggest significant persistence in bank profitability. Moreover …
Persistent link: https://www.econbiz.de/10010274050
about the pass-through of monetary policy. On the one hand, negative rates could lead to declining bank profitability making … interest rates per se. This paper uses a large micro level data set of the German bank universe to examine how banks behave in … this uncharted territory. The evidence found suggests that bank’s business model, i.e. the share of overnight deposits …
Persistent link: https://www.econbiz.de/10012892229
bias in corporate taxation. It is well known that this reform reduces bank leverage. This paper analyzes a novel …
Persistent link: https://www.econbiz.de/10013250732
the public, long-term systemic risk among banks tends to increase. From the dynamic perspective, bank penalties represent … long-term. In this respect, bank penalties resemble still waters that run deep. In contrast, a settlement with regulatory …
Persistent link: https://www.econbiz.de/10013311710
How much deposits and equity a bank has influences how a banks’ lending responds to monetary policy. While the … responsiveness for the bank lending channel has been well established, this is not the case for the risk-taking channel (RTC). We …
Persistent link: https://www.econbiz.de/10014243681
capital standards, and cost of bank equity determine credit reallocation, sectoral expansion and trade patterns …
Persistent link: https://www.econbiz.de/10012892187
Do macroprudential regulations on residential lending influence commercial lending behavior too? To answer this question, we identify the compositional changes in banks' supply of credit using the variation in their holdings of residential mortgages on which extra capital requirements were...
Persistent link: https://www.econbiz.de/10012861456
bank credit reallocation with endogenous firm entry and exit that allows for both theoretical and quantitative analysis. By …
Persistent link: https://www.econbiz.de/10014241611
competition and stability in banking. There are two basic channels through which competition may increase instability: by … incentives to take risk and raise failure probabilities. The competition-stability trade-off is characterized and the … implications of the analysis for regulation and competition policy are derived. It is found that optimal regulation may depend on …
Persistent link: https://www.econbiz.de/10010270643
about a firm's type to its competitors. Thereby, asymmetric information between banks is reduced and bank competition …Why do banks remain passive? In a model of bank-firm relationship we study the trade-off a bank faces when having … defaulting firms declared bankrupt. First, the bank receives a payoff if a firm is liquidated. Second, it provides information …
Persistent link: https://www.econbiz.de/10010264275