cycle. With forward-looking banks, lending cycles, credit booms and busts, or suppressed and highly fragile bank systems can …Business cycles imply liquidity risks for banks. This paper explores how these risks influence bank lending over the … unpleasant effects on bank lending. Imposing countercyclical capital adequacy ratio may amplify procyclicality or result in …

This paper examines the negative externalities that may occur when a large bank fails, describes the nature of those … suggests that the chief negative externalities are associated with credit losses and losses due to liquidity problems, and … to their funds, and how long it takes borrowers to reestablish credit relationships. While regulatory delay and …

credit risk in each market is determined by their choice of monitoring effort, which is more costly for foreign lending …. Under a binding equity constraint, our model predicts shocks to bank equity, regulatory standards and monetary policy, such …

Japanese banking crisis. By leveraging a unique dataset merging firm-level financial statements and bank balance sheets, the … high-productivity firms for investment and productivity enhancement, the latter suggests credit misallocation towards …

America, and Europe, as well as selected economies from the developed world, panel regressions are estimated to quantify the …

develops a methodology to detect problems at the individual bank level in an effort to identify those firms with financial … facilitate bank monitoring tasks, as well as some disaggregated subcomponents that are intended to display the relative …

focuses on bank incentives to manage bad loans. We show that interventions involving bank recapitalizations provide banks with … undercapitalization of the banking sector, other interventions, such as guarantees on bank liabilities and liquidity support, lead banks … crisis, and find that bank recapitalizations substantially reduce recession duration …

This paper investigates the complementarity between the different macroprudential policies to contain bank systemic … vary depending on the set of tools implemented, as well as bank’ size, TBTF, leverage, liquidity and concentration. Our …