combination of liquidity regulation ex ante and lender of last resort policy ex post can maximize investor payoff. In contrast …

Economists have extensively analyzed the regulation of banks and the banking industry, but have devoted considerably … "supervision" and "regulation" interchangeably. This paper provides a heuristic review of the economics literature on … activity distinct from regulation (rulemaking) is just now emerging and has considerable room to grow. Meanwhile, the empirical …

A model is presented where the question of bank regulation is developed under a principal-agent scenario in a regime … regulatory capacity is addressed using market-based incentives to ensure prudent regulation and effective supervision, and …

This paper examines how financial regulation and institutional quality affect the probability of a banking crisis using … from low to medium levels of regulation and decreases from medium to high levels of regulation. This relationship is … regulation are hard to achieve, especially in Europe. Our results are consistent with several robustness econometric exercises …

“additional loss absorbency requirement” for these institutions. Motivated by this instrument of macroprudential regulation, which …

higher adjustment costs, due to the weaker governance and stricter regulation, the adjustment is significantly slower. Banks … ratios contributes to our understanding of which settings influence (i) the pro-cyclicality of capital regulation and (ii …

In this paper, I suggest that the regulation of the financial system, especially if the aim is to prevent financial … important than organizing the best possible prudential regulation is having a solid and well-developed financial safety net … failed financial institution.The key point I wish to make is that no financial regulation will ever be effective without duly …

This paper adopts a dynamic contracting framework to study the design of prudential regulation of a bank engaging in … excessive risk when the bank is undercapitalised and the regulator grants forbearance ex-post. The socially optimal regulation …

larger equity reserves would reduce the need for costly regulation. The proposed Financial Choice Act is a step in this …