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contract terms regulation. These measures were meant for removing the obstacles to competition within and between the insurance …
Persistent link: https://www.econbiz.de/10003886293
Although policymakers often discuss tradeoffs between bank competition and stability, past research provides differing theoretical perspectives and empirical results on the impact of competition on risk. In this paper, we employ a new approach for identifying exogenous changes in the competitive...
Persistent link: https://www.econbiz.de/10012854777
Banking reforms — that reduced interest rates — boosted college enrollment rates among able students from middle class families. We define “able” students as those with learning aptitude scores in the top two-thirds of the U.S. population. We define “middle class” as families in...
Persistent link: https://www.econbiz.de/10013077376
We use an extensive data set of bilateral exposures on credit default swap (CDS) to estimate the impact on collateral demand of new margin and clearing practices and regulations. We decompose collateral demand for both customers and dealers into several key components, including the “velocity...
Persistent link: https://www.econbiz.de/10010259663
We use an extensive data set of bilateral exposures on credit default swap (CDS) to estimate the impact on collateral demand of new margin and clearing practices and regulations. We decompose collateral demand for both customers and dealers into several key components, including the “velocity...
Persistent link: https://www.econbiz.de/10013059582
I develop a structural model of mortgage demand and lender competition to study how leverage regulation affects the … leverage regulation increases the concentration of mortgage originations, as large lenders exploit a regulatory cost advantage …
Persistent link: https://www.econbiz.de/10012911375
We estimate the cost of capital for the banking industry and find that while the cost of capital soared for banks in the financial crisis, after the passage of the Dodd-Frank Act, the value-weighted cost of capital for banks fell differentially more than did the cost of capital for nonbanks. The...
Persistent link: https://www.econbiz.de/10011868475
We examine the effects of the supplementary leverage ratio (SLR) on large banks’ participation in U.S. Treasury markets. Exploiting exogenous shocks to credit line drawdowns and data on bank’s holdings of Treasury securities, we show that an increase in banks’ balance sheets size reduces...
Persistent link: https://www.econbiz.de/10013403626
How do the business cycle effects of loan supply shocks depend on the state of prudential regulation in the euro area … regulation. We find that in tight regimes, expansionary shocks trigger a boom-bust cycle. In the loose regime, results appear … historical development of prudential regulation in the euro area, which is primarily characterized by prudential tightening. …
Persistent link: https://www.econbiz.de/10014636947
Persistent link: https://www.econbiz.de/10009267085