Switzerland. For identification, we compare changes in the behavior of banks that had different fractions of their central bank … an earlier rate cut within positive territory, and risk-taking reduces regulatory capital cushions and liquidity. …

Several countries have recently introduced national capital standards exceeding the internationally coordinated Basel … III rules, thus suggesting a 'race to the top' in capital standards. We study regulatory competition when banks are … heterogeneous and give loans to firms that produce output in an integrated market. In this setting capital requirements change the …

stablecoin issuers raises the challenge of how to apply technology-neutral regulation so that similar risks are subject to the …

sensitivity to growth in past investments, the percentage of investments in intangibles, and the firmś cost of capital. We provide …

mortgages on which extra capital requirements were uniformly imposed by the countercyclical capital buffer (CCyB) introduced in …

We study an environment where the capital structure of banks and firms are jointly determined in equilibrium, so as to … balance the benefits of the provision of liquidity services by bank deposits with the costs of bankruptcy. The risk in the …

Limited liability and asymmetric information between an investment bank and its lenders provide an incentive for a bank … brought in the government in the first place (Selection Principle). As national solvency regulation creates a positive … international policy externality on foreign lenders of domestic banks, there will be an undersupply of such regulation. This may …

choose their portfolio risk, bank size, and capital holdings. Banks voluntarily hold equity when the buffer effect against … larger, choose riskier portfolios, and have less equity. Binding capital requirements or levies on bank borrowing are shown …We introduce a model of the banking sector that formally incorporate a buffer function of capital. Heterogeneous banks …

We develop a stylized DSGE model in which banks face capital regulation and their loan portfolios are subject to non … conditions, credit default and bank capitalization for the transmission of macroeconomic shocks. We fit the model to euro area … empirical literature, i.e. the pro-cyclicality of bank profitability and the counter-cyclical response of firm default rates and …