This paper shows that banks use accounting discretion to overstate the value of distressed assets. Banks' balance … crisis. Share prices of banks with large exposure to mortgage-backed securities also react favorably to recent changes in … accounting rules that relax fair-value accounting, and these banks provision less for bad loans. Furthermore, distressed banks …

prolonged recession as well as structural factors that have held back NPL write-offs by banks. The paper discusses the … impediments to NPL resolution in Italy and a strategy for fostering a market for restructuring distressed assets that could …

Germany and the Czech Republic, Hungary, Poland, and Slovakia (the CE4) have been in a process of deepening economic …

This paper explains the continuing success of European cooperative banks through evolving comparative advantages. It …

We study how investors account for the riskiness of banks' risk-weighted assets (RWA) by examining the determinants of … stock returns and market measures of risk. We find that banks with higher RWA had lower stock returns over the US and … European crises. This relationship is weaker in Europe where banks can use Basel II internal risk models. For large banks …

The paper studies risk mitigation associated with capital regulation, in a context where banks may choose tail risk … liability. Moreover, higher capital may have an unintended effect of enabling banks to take more tail risk without the fear of …

to scale of the intermediation technology used by banks to screen and/or monitor borrowers. If the intermediation …

development and becomes relatively less important as the economy develops, and why banks may retard financial sector development …

This paper presents a model of a banking industry with heterogeneous banks that delivers predictions on the … relationship between banks' risk of failure, market structure, bank ownership, and banks' screening and bankruptcy costs. These … predictions are explored empirically using a panel of individual banks data and ownership information including more than 10 …

The global financial crisis has highlighted the importance of early identification of weak banks: when problems are … of banking distress in Europe. We identify a set of indicators and thresholds that can help to distinguish sound banks …