In this paper, we argue for a regulatory framework under which a bank’s required level of equity capital depends on the … equity capital of its peers. Such bankingon- the-average rules are transparent and could also be combined with the current … abstain from gambling. Moreover, it alleviates socially harmful consequences of conventional equity-capital rules, which may …

find that a country's basic-research investments increase with the country's level of human capital and decline with its …