The handling of cross-border banks in difficulties gives rise to coordination problems between home and host countries. Goodhart and Schoenmaker (2006, 2009) have suggested to implement an ex ante burden sharing mechanism to overcome the co-ordination failure of national authorities. While...

The financial crisis had a major impact on the banking landscape. As troubled banks were rescued by their home country, the question arises what happened to cross-border banking. Our findings indicate that cross-border banking remains strong within Europe; the Single Market in Banking is still in...

The state-led resolution of the 2007-2009 financial crisis has proven to be costly. Calls are being heard in Belgium, the Netherlands and Switzerland to cap the size of domestic banks. Is small beautiful? In this policy paper, we first match bailing out cost data to the relative size of banks...