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This paper addresses the topic regarding the desirability of competition in banking industry. In a model where banks compete on both deposit and loan markets and where banks can use monitoring technology to control entrepreneurs' behavior, we investigate three questions: what are the effects of...
Persistent link: https://www.econbiz.de/10013152326
similar effect can be observed for other eurozone banks after the introduction of the European bank recovery and resolution …
Persistent link: https://www.econbiz.de/10012858630
Using a large panel of US bank holding companies from 2001 to 2015, this study investigate how depositors respond to … the bank's discretionary behaviors. We document evidence of a higher deposit rates for banks that engage more in earnings … management, suggesting the evidence of market discipline. Depositors seem to monitor bank's discretionary behaviors at a lesser …
Persistent link: https://www.econbiz.de/10012914000
This paper addresses the desirability of competition in banking industry. In a model where banks compete on both deposit and loan markets and where banks can use monitoring technology to control entrepreneurs' behavior, we investigate three questions: what are the effects of competition on...
Persistent link: https://www.econbiz.de/10014191429
German savers are renowned for preferring safe, long-term investments, thus providing patient capital, with bank … heterogeneity depending on banks' governance structures. The announcement of a state guarantee for bank deposits following the …
Persistent link: https://www.econbiz.de/10012988693
We study the optimal joint design of prudential supervision and deposit guarantee regulations in a multi-country, integrated banking market, where policy-makers have preferences regarding profitability and stability of the banking sector. Non-coordinated policies will tend to yield too little...
Persistent link: https://www.econbiz.de/10013119693
-2013. The bank disclosure provides tools to help depositors to exert there governance onto banks manager to align managers …
Persistent link: https://www.econbiz.de/10012968026
) processes that often underestimate liquidity risk. Thus a bank relying on those models may face failure in an event of crisis …
Persistent link: https://www.econbiz.de/10012845869
This paper investigates the relation between national culture and bank deposits. Using annual data (1995-2015) for 99 … national cultural traits and bank deposits. The effect of hierarchy and individualism on deposits is stronger (positive and … analyse the impact of annual bank-level deposit stability on the trust-deposits relation. We show that high deposit volatility …
Persistent link: https://www.econbiz.de/10012848611
This paper investigates a model of endogenous product differentiation in subprime lending markets. In the subprime literature the discussion surrounds two competing hypotheses about pricing behavior. The opportunity pricing hypothesis suggests that lenders are rent seeking in their pricing...
Persistent link: https://www.econbiz.de/10013141057