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Information costs and regulatory barriers are the main distinguishing features of international financial markets as compared to national financial markets. This paper presents a simple model of the impact of these factors on banks' cross-border activities and provides empirical evidence. Our...
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international stock market indices from Britain, France, Germany, Italy, Japan and the United States over 24 years from January 1978 …
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countries except Japan. The estimates show wide variation across banks, highlighting the difficulty of estimating expected …
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