To protect retail investors from the bail-in rule, we propose that banks should issue subordinated "contractual bail … estimates of the amounts of contractual bail-in instruments that European banks should issue in order to reach the 8% target …

This paper analyzes alternative models for emerging sovereign ratings. Although a small number of economic fundamentals … explain ratings reasonably well, variations in those economic fundamentals are themselves explained by a small number of world … explain the significant spread compression at the end of 2006. To determine whether ratings matter for spreads, the paper …

changes may be anticipated, testing whether ratings add value is not straightforward. This paper argues that ratings and … spreads are both noisy signals of fundamentals and suggest ratings add value if, controlling for spreads, they help explain … other variables. The paper additionally analyzes the different actions (ratings and outlooks) of the three leading agencies …

important aspects closely related to NCM: the absence of banks and monetary aggregates from this theoretical framework, and the …

of RPE in a new sample of large international non-U.S. banks. Taken as a whole, the banks in our sample show moderate … evidence consistent with RPE. We report stronger evidence once we investigate the subsample of banks that disclose the use of …

This paper analyzes the influence of market discipline on the risk-taking incentives of banks. It is shown that market … discipline reduces risk if banks can credibly commit to a given level of risk before the interest rate on deposits is set. If … in risk. The reason is that rational depositors anticipate the banks' behavior and therefore ask for a higher risk …

that banks require collateral from observably riskier borrowers (lender selection effect), while lower risk premiums arise …

, primarily by community banks. The survey evidence suggests that the use of credit scores in small business lending by community … banks is surprisingly widespread. Moreover, the scores employed tend to be the consumer credit scores of the small business …