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

-interest rate environment, which fundamentally changed the business environment for the Japanese commercial banks. On the income … side, with interest margins becoming increasingly depressed, net interest revenues declined, which forced the banks to … expand revenues from fees and commissions. The banks had to cut costs by reducing the number of employees, closing branches …

are also relevant. Finally, the interest rate reacts positively when banks have a higher demand for liquidity, due to both …

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 …