International financial linkages, particularly through global bank flows, generate important questions about the …. Empirical tests of the trilemma support this view that global bank effects are heterogeneous and that the primary drivers of …

This paper studies how banks simultaneously manage the two sides of their balance sheet and its implications for bank … risk taking and real economic activity. First, we analyze how changes in funding affect the supply of bank loans. We then …

Using the Bank for International Settlements (BIS) Locational Banking Statistics data on bilateral bank claims from … 1995 to 2014, we analyze the impact of monetary policy on cross-border bank flows. We find that monetary policy in a source … country is an important determinant of cross-border bank flows. In addition, we find evidence in favor of a cross …

Countercyclical bank capital requirements have emerged as a popular regulatory tool to help smooth financial cycles …. The idea is to reduce capital requirements when exogenous shocks cause aggregate bank capital to decrease so that …-consistent capital regulation requires that bank capital is rebuilt gradually during financial crises. In particular, banks must be able …

This paper shows that bank competition has an intrinsically ambiguous effect on capital accumulation and economic … evidence gathered from recent empirical studies of how bank competition affects the real economy. Our results were obtained by … leads to higher capital accumulation. The opposite is true when entrepreneurs are innately of higher credit quality. -- Bank …

We address two questions: (i) Are bank capital structure and value correlated in the cross section, and if so, how? (ii …) If bank capital does affect bank value, how are the components of bank value affected by capital? We first develop a … dynamic model with a dissipative cost of bank capital that is traded off against the benefits of capital: strengthened …