Showing 1 - 10 of 1,017
CCyB, especially relative to countries where a bank regulator or the central bank has the authority to set the CCyB. While …
Persistent link: https://www.econbiz.de/10012170614
instruments to study international spillovers of prudential policy changes for bank lending growth. The collective analysis has … three main findings. First, prudential instrument effects sometimes spill over across borders through bank lending. Second …, international spillovers vary across prudential instruments and are heterogeneous across banks. Bank-specific factors like balance …
Persistent link: https://www.econbiz.de/10011595267
A bank's decision on loan supply and capital structure determines its immediate bankruptcy risk as well as the future … availability of internal funds. These internal funds in turn determine a bank's future costs of external finance and future …-to-asset ratios, liquidity coverage ratios and regulatory margin calls on the dynamics of loan supply and bank stability. Only …
Persistent link: https://www.econbiz.de/10011918996
methodology developed by Amiti and Weinstein (2013) to a rich dataset of matched bank-firm loans in the Portuguese economy for the … growth rate of individual loans in our dataset is decomposed into bank, firm, industry and common shocks. Adverse bank shocks …
Persistent link: https://www.econbiz.de/10011495499
We propose an algorithm to model contagion in the interbank market via what we term the credit quality channel. In existing models on contagion via interbank credit, external shocks to banks often spread to other banks only in case of a default. In contrast, shocks are transmitted via asset...
Persistent link: https://www.econbiz.de/10011381702
domestic government debt in the euro area,thus strengthening or weakening the sovereign-bank nexus. To do so, we construct … sovereign bondsin the periphery countries and so deepens the sovereign-bank nexus. By contrast,banks in the core countries …
Persistent link: https://www.econbiz.de/10012623677
Excessive household borrowing has been identified as an important determinant of financial crises. Borrower-based macroprudential instruments have been proposed as a possible remedy. In Germany, two instruments have been available to macroprudential supervisors since 2017: a cap on the...
Persistent link: https://www.econbiz.de/10012589225
This paper uses matched bank-firm-level data and the 2014 depreciation of the euro to show that exchange rate … depreciations lead to increased bank loan supply of large banks with significant net foreign asset exposure. This increase in …
Persistent link: https://www.econbiz.de/10012792736
According to current regulation, European banks can apply zero risk weights to sovereign exposures in their balance sheet, irrespective of the assigned rating. We show that a zero risk weighting of sovereign bonds has implications by distorting banks' asset allocation decisions. Due to the lower...
Persistent link: https://www.econbiz.de/10012098989
This paper shows that the supply side of credit is a major factor for the phenomenonof hampered interest rate pass-through in monopolistic banking markets. Our data,covering all 1,555 small and medium sized banks in Germany, provides a clear wayto partial out demand shocks; we are thus able to...
Persistent link: https://www.econbiz.de/10012322286