Demsetz, Rebecca S.; Saidenberg, Marc R.; Strahan, Philip E. - Federal Reserve Bank <New York, NY>; London School of … - 1996
[...]In this article, we explore the relationship betweenfranchise value and risk taking over the 1986-94 period … an inverse relationship between franchisevalue and an “all-in” measure of risk based on stock-returnvolatility, which … from the balance sheet todetermine how high-franchise-value banks reduce risk. Wefind that banks with more franchise value …