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concentrated ownership improves banks' liquidity. Further, the recent financial crisis does not appear to change the fundamental … associations among ownership concentration, capital adequacy, and liquidity …
Persistent link: https://www.econbiz.de/10013092657
We investigate whether or not market discipline on banking firms changed after the Dodd-Frank Wall Street Reform and …
Persistent link: https://www.econbiz.de/10013073502
This study examines the impact of bank liquidity on bank risk taking. Using quarterly data for U.S. bank holding … alternative bank risk and liquidity proxies, including some new liquidity measures advocated under the Basel III regulatory … framework. An increase in banks' short-term liquidity increases banks' non-performing assets, risk-weighted assets and stock …
Persistent link: https://www.econbiz.de/10012904765
The financial crisis forced the development of new approaches for determining capital adequacy in banks since extant methods clearly did not prepare banks nor their supervisors sufficiently. The success of stress testing as a crisis response tool, particularly in the US in 2009, has led to its...
Persistent link: https://www.econbiz.de/10012858149
In a model with heterogeneous banks and endogenous fire sales, the tightening of bank capital regulation can aggravate fire sales, leading to larger bank losses and higher systemic risk. When calibrated to the data, the least costly policies to mitigate systemic risk raise both ex ante capital...
Persistent link: https://www.econbiz.de/10012917551
because it reflects special liquidity benefits of bank debt. Even aside from neglecting the systemic damage to the economy … laissez-faire are inefficient and involve excessive borrowing, with default risks that jeopardize the purported liquidity …
Persistent link: https://www.econbiz.de/10011925841
it reflects special liquidity benefits of bank debt. Even aside from neglecting the systemic damage to the economy that …-faire are inefficient and involve excessive borrowing, with default risks that jeopardize the purported liquidity benefits …
Persistent link: https://www.econbiz.de/10011977827
This paper approximates a construction of Basel III's Liquidity Coverage Ratio (LCR) for U.S. bank holding companies …
Persistent link: https://www.econbiz.de/10012967216
This paper investigates the impact of the capital relief package adopted to support euro area banks at the outbreak of the COVID-19 pandemic. By leveraging confidential supervisory and credit register data, we uncover two main findings. First, capital relief measures support banks' capacity to...
Persistent link: https://www.econbiz.de/10014239728
cannot eliminate the impact of fair values in a liquidity crisis. The most effective method is to exclude the unrealized …
Persistent link: https://www.econbiz.de/10013111173