SUNDARESAN, SURESH; WANG, ZHENYU - In: Journal of Finance 70 (2015) 2, pp. 881-920
type="main" <title type="main">ABSTRACT</title> <p>Contingent capital (CC), which aims to internalize the costs of too-big-to-fail in the capital structure of large banks, has been under intense debate by policy makers and academics. We show that CC with a market trigger, in which direct stakeholders are unable to choose...</p>