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rehabilitate the U.S. banking industry. Many of those strategies were used also in Japan to combat its banking problems in the 1990 …
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We analyze the fate of 120 Italian banks that experienced abrupt drops in profitability. About 1/3 see their profits recover. These banks were lending to riskier clients than the average in the overall economy prior to their distress. Whether they recover depends on the size of the initial...
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