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Persistent link: https://www.econbiz.de/10011515259
their banking systems. The main bank support measures - direct capital support, removal and guarantees of bad assets, direct … manage skillfully the lifting of bank support measures. Third, I conduct stress tests of the banking systems. The stress …
Persistent link: https://www.econbiz.de/10003901398
We analyze how a wealth shift to emerging countries may lead to instability in developed countries. Investors exposed to expropriation risk are willing to pay a safety premium to invest in countries with good property rights. Domestic intermediaries compete for such cheap funding by carving out...
Persistent link: https://www.econbiz.de/10011304762
This paper presents an analysis of the dynamic measures of volatility connectedness of major bank stocks in the US and …
Persistent link: https://www.econbiz.de/10010239322
We develop a model of the joint capital structure decisions of banks and their borrowers. Strikingly high bank leverage … emerges naturally from the interplay between two sets of forces. First, seniority and diversification reduce bank asset … and fragility. Deposit insurance and the expectation of government bailouts increase not only bank risk taking, but also …
Persistent link: https://www.econbiz.de/10010259793
We present a theory in which the key driver of short-term debt issued by the financial sector is the portfolio demand for safe and liquid assets by the nonfinancial sector. This demand drives a premium on safe and liquid assets that the financial sector exploits by owning risky and illiquid...
Persistent link: https://www.econbiz.de/10011412482
60% of US mortgage market. Exploiting within-servicer variation in this data, we find that bank-held loans are 26% to 36 … of bank-held loans are more efficient: conditional on a modification, bank-held loans have lower post …
Persistent link: https://www.econbiz.de/10013131514
concentration indices (k bank concentration ratios (CR5) and the Herfindahl-Hirschman indices (HHI)).Empirical analysis shows that …
Persistent link: https://www.econbiz.de/10013096327
2007-2009. The fear is that if a big bank gets into trouble, its problems will infect other financial institutions and … there are huge complexities at almost every level. What is “big?” How big is too big? What is a “bank?” What kinds of risk …-taking are appropriate for a bank – and why? What do we know about the costs and benefits of different strategies? This paper …
Persistent link: https://www.econbiz.de/10013089323
of bank-specific factors and macroeconomics variables on efficiency (NIM). The results show that in general, the banking …
Persistent link: https://www.econbiz.de/10013090157