mortgage tax from being levied on borrowers to being levied on banks; (ii) some areas, for historical reasons, were exempt from … smaller number of lending relationships, not working for the lender, or facing less banks in their zip-code, thereby …-full tax pass-through, the tax shift increases banks' risk-taking. More affected banks reduce costly mortgage insurance in case …

mortgage tax from being levied on borrowers to being levied on banks; (ii) some areas, for historical reasons, were exempt from … smaller number of lending relationships, not working for the lender, or facing less banks in their zip-code, thereby …-full tax pass-through, the tax shift increases banks' risk-taking. More affected banks reduce costly mortgage insurance in case …

Bank leverage ratios have made an impressive and largely unopposed return; they are mostly used alongside risk … financial instability are the Spanish and Irish banking crises, which resulted from nothing more sophisticated than … straightforward real estate loans. Bank leverage ratios are primarily seen as a microprudential measure that intends to increase bank …

This paper reports estimates of the long-run costs and benefits of banks funding more of their assets with loss … of the benefits from having banks use more equity no estimate of costs - however accurate - can tell us what the optimal … level of bank capital is. We use empirical evidence on UK banks to assess costs; we use data from shocks to incomes from a …

. We find that properly regulated banks voluntarily choose to maintain capital in excess of the minimum required. Central … banks in receivership stripping equity holders of firm value. These features of our model help explain both the capital … structure of the large mortgage Government Sponsored Enterprises and the recent increase in risk taking through leverage by …

Bank leverage ratios have made an impressive and largely unopposed return; they are mostly used alongside risk … financial instability are the Spanish and Irish banking crises, which resulted from nothing more sophisticated than … straightforward real estate loans. Bank leverage ratios are primarily seen as a microprudential measure that intends to increase bank …

by the degree of leverage that is permitted by market conditions. The relative stickiness of equity reveals possible …-based financial intermediaries such as the Wall Street investment banks, as well as the commercial bank subsidiaries of the large U …

The paper analyzes a very stylized model of crises and demonstrates how the degree of strategic complementarity in the … liquidity risk and characterizes them. Both a solvency (leverage) and a liquidity ratio are required to control the …

We show how banks’ excessive risk-taking, stemming from informational asymmetries in loan markets, can lead to an …