Patterns in cross-border banking have changed since the global financial crisis. This may affect domestic bank market … modes of cross-border banking impact bank concentration. I use a two- country general equilibrium model with heterogeneous … banking sector on bank market structures. The model suggests that both cross-border lending and bank FDI mitigate …

This paper analyses how entry by an international bank into a developing economy aÞects the credit market equilibrium … negative net present value projects. The agency problem has an asymmetric impact on the local and the foreign bank. The model … illustrates how the diversification of the foreign bank's loan portfolio eliminates the agency problem. In contrast, in certain …