Through the lens of credit risk ratings, we investigate how banks determine loan terms under capital constraints. Using … adjustments to banks' internal rating systems, which only alter how outsiders assess the riskiness of borrowers, trigger changes … effects to be strong for smaller, riskier, and capital constrained banks as well as for borrowers with poorer credit quality …

financial conditions, with flows decreasing in market volatility (VIX) and term premia, and increasing in bank leverage, growth … Area – are also important, sometimes even more so, consistent with the dominant role of European banks in cross … also the cyclical impact of global liquidity, with sensitivities of flows to banks decreasing with stronger macroeconomic …

(proxied by leverage and TED spreads). This expands on previous studies by highlighting non-US drivers of global liquidity, and … is consistent with the dominant role of European banks in cross-border lending. We also show that borrowing countries can …

(proxied by leverage and TED spreads). This expands on previous studies by highlighting non-US drivers of global liquidity, and … is consistent with the dominant role of European banks in cross-border lending. We also show that borrowing countries can …

regressions, we analyze how changes in balance sheets of some 2800 banks in 48 countries over 2000–2010 respond to specific …-to-value ratios, and limits on credit growth and foreign currency lending – are effective in reducing leverage, asset and noncore to … distribution, and dynamic provisioning) also help mitigate increases in bank leverage and assets, few policies help stop declines …