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We document five facts about banks: (1) market and book leverage diverged during the 2008 crisis, (2) Tobin's Q …
Persistent link: https://www.econbiz.de/10012627919
We propose a dynamic bank theory with a delayed loss recognition mechanism and a regulatory capital constraint at its core. The estimated model matches four facts about banks' Tobin's Q that summarize bank leverage dynamics. (1) Book and market equity values diverge, especially during crises;...
Persistent link: https://www.econbiz.de/10012649212
We document five facts about banks: (1) market and book leverage diverged during the 2008 crisis, (2) Tobin's Q …
Persistent link: https://www.econbiz.de/10012482155
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position during the crisis of 2008 …
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In this study, we examine non-government-assisted US commercial bank merger activity prior to, and during the recent … discrepancies between targets and acquirers are also greater for crisis period mergers, suggesting that merger gains outweigh …. Lastly, we find overall merger announcement value creation during the financial crisis is greater when targets have higher …
Persistent link: https://www.econbiz.de/10013007281