Motivated by public policy debates about bank consolidation and conflicting theoretical predictions about the … relationship between the market structure of the banking industry and bank fragility, this paper studies the impact of bank … concentration, bank regulations, and national institutions on the likelihood of suffering a systemic banking crisis. Using data on …

inefficiencies, as the various distortions can offset each other. Empirical analysis using bank-level data from the recent crisis …

"There is a wide cross-country variation in the institutional structure of bank failure resolution, including the role … scheme are more stable and less likely to become insolvent. Involvement of the deposit insurer in bank failure resolution … thus dampens the negative effect that deposit insurance has on banks' risk taking. "--World Bank web site …