We analyze the relationship between bank size and risk-taking under the New Basel Capital Accord. Using a model with … imperfect competition and moral hazard, we show that the introduction of an internal ratings based (IRB) approach improves upon … a competitive advantage and, due to fiercer competition, pushes smaller banks to take higher risks. This may even lead …

This Paper investigates the effects of competition on credit risk, overall bank risk and revenue diversification for … Vietnam). We also examine the effects of financial crisis years for selected sample. We use three proxies of bank stability to … measure the effects of changing competition. Our findings suggest that, even though changing competition results in volatile …