We study the effects of a bank's engagement in trading. Traditional banking is relationship-based: not scalable, long …-based: scalable, shortterm, capital constrained, and with the ability to generate risk from concentrated positions. When a bank … inefficiencies. A bank may allocate too much capital to trading ex-post, compromising the incentives to build relationships ex …

suggest that the deterioration in asset quality can be attributed to both macroeconomic and bank-specific factors. Banks with … important differences across bank practices with an impact on asset quality. Finally, the results emphasize the strength of …

The Italian economy has been struggling with low productivity growth and bank balance sheet strains. This paper … examines the implications for firm productivity of adverse shocks to bank lending in Italy, using a novel identification scheme … borrowers in distress, and find that a negative shock to bank credit supply reduces firms' loan growth, investment, capital …

information about the quality of bank portfolios also plays a role in precipitating systemic crises. [3] Financial crises … effectiveness of future bank risk assessment, increasing the probability of lengthy, severe recessions. The government, acting in … the interest of current and future depositors, may wish to increase the transparency of bank portfolios by limiting …

large sample of bank-level data on credit growth for the entire CESEE region. We complement this analysis by five case …

Using a comprehensive database on bank credit, covering 135 developing countries over the period 1960–2011, we identify …