restrictive bank loan supply shock has a strong and persistent negative impact on real GDP and the GDP deflator. This result comes … "spare tire" for the reduction in bank loans. We show that this result can be rationalized by a recently revived view of … the act of lending. Consequently, our findings indicate that a substitution of bank loans by other sources of financing …

that differences in bank funding costs help explain the varying appetite of banks for relatively high-yielding (and hence …

finance premium, while a BGG model generates too low volatility. The full model also matches the procyclicality of bank …

Regulatory bank levies set incentives for banks to reduce leverage. At the same time, corporate income taxation makes … funding through debt more attractive. In this paper, we explore how regulatory levies affect bank capital structure, depending … on corporate income taxation. Based on bank balance sheet data from 2006 to 2014 for a panel of EU-banks, our analysis …

Traditional theory suggests that higher bank profitability (or franchise value) dissuades bank risk-taking. We … highlight an opposite effect: higher profitability loosens bank borrowing constraints. This enables profitable banks to take … risk on a larger scale, inducing risk-taking. This effect is more pronounced when bank leverage constraints are looser, or …

requirements. We find that an increase in the bankspecific regulatory capital requirement results in a higher bank capital ratio … and higher bank leverage. We do not observe differences between confidential and public disclosure of capital requirements …. Our results empirically illustrate a tradeoff between bank resilience and a fostering of the economy through more bank …