We study the effects on credit allocation and bank stability of introducing a leverage ratio requirement (LRR) on top … current 3% LRR might even reduce bank stability, counter to regulatory intentions. This is because the allocational effect … caused by the LRR, which makes bank loan portfolios more alike, may turn beneficial risk spreading into harmful risk …

This paper studies the link between bank capital regulation, bank loan contracts and the allocation of corporate … resources across firms' different business lines. Credit risk is lower when firms write contracts that oblige them to invest …

We investigate benefits to business borrowers from bank bailouts – specifically the Troubled Asset Relief Program (TARP … – spread, amount, maturity, collateral, and covenants –suggesting increased credit supply to borrowers of bailed-out banks at … and policy debates on bank bailouts …

The US credit boom has been identified as one of the causes of the global financial crisis and the resulting debt … overhang is seen as the primary reason for the weak economic recovery. Most of the existing literature links the credit boom to … non-financial private sector had been originated by shadow banks. Consequently, dampening credit creation by the …

that enables the bank credit manufacturing process. In this way, all the banks become interdependent on the flow of … inter-bank clearing and credit arrangements provide this coordination at the inter-bank level, which is effectuated through …Contemporaneous banking theory appear to understand financial institutions as intermediaries, neglecting some facts …

Between 2010 and 2012 and with bank stability as the ultimate target, five European countries implemented a tax levy on … the impact of the tax levy along bank size and capital structure. We find that banks located in countries where the tax … levy was implemented supply more credit. This increase is more significant for larger lenders and banks that are more …

Systemically Important Banks (G-SIBs) on bank lending behaviour. Using a difference-in-differences estimation strategy, we find no … effect of the reforms on overall credit supply, while at the same time documenting a substantial decline in borrower- and …