that bank CEOs responded to contractual risktaking incentives by taking more risk; systematic evidence that bank boards … altered CEO compensation to encourage executives to exploit new growth opportunities; and more limited evidence that bank …

The Basel III Accord imposes minimum liquidity standards on bank balance sheets that are already constrained by minimum … that resulted in greater balance sheet liquidity. Thus, in the state of nature that has traditionally most concerned bank … regulators (i.e., stress to bank equity capital), community banks increase their liquidity buffers. Given that these lenders do …

opportunities for commercial banks. Our results suggest that compensation committees provided new incentives for bank CEOs to … strategic reallocations, our results also suggest that bank boards designed CEO compensation contracts to limit excessive risk …

We estimate a structural model of bank portfolio lending and find that the typical U.S. community bank reduced its … effects (consistent with a reduction in the liquidity of assets held on bank balance sheets) and by reduced loan supply …

incentives for banks to take additional risk, potentially threatening the safety of banking and payments system. Commercial bank … regulators have responded to this increased potential for risk-taking by formally linking bank supervision and regulation to the … level of risks that banks take. In this study we analyze the safety and soundness (CAMEL) ratings assigned by bank …