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This paper seeks to understand the interplay between banks, bank regulation, sovereign default risk and central bank … guarantees in a monetary union. I assume that banks can use sovereign bonds for repurchase agreements with a common central bank … cheaply, effectively shifting the risk of some of the potential sovereign default losses on the common central bank. …
Persistent link: https://www.econbiz.de/10009786077
This paper analyzes the implications of the gradual rise in bank concentration since the 1990s for the transmission of … the level of local bank concentration and bank capitalization. I find that banks operating in high-concentration markets … in local deposit and loan markets, along with bank capital requirements, lead to frictions on the pass-through to the …
Persistent link: https://www.econbiz.de/10014251891
Persistent link: https://www.econbiz.de/10012518272
lending channel. Based on monetary and bank-level data from 2008 to 2018 in Vietnam, a diverse environment of monetary policy …The study empirically examines the impact of bank diversification on monetary policy transmission through the bank … tools, results show that bank diversification significantly drives the bank lending channel in different ways. Using the …
Persistent link: https://www.econbiz.de/10013183758
We develop a two-country DSGE model with global banks to analyze the role of crossborder banking flows on the transmission of a quality of capital shock in the United States to emerging market economies (EMEs). Banks face a moral hazard problem for borrowing from households. EME's banks might be...
Persistent link: https://www.econbiz.de/10011483678
On 3 December EY hosted a SUERF conference on banking reform with Sir Howard Davies, the Chairman of RBS, and Dame Colette Bowe, the Chairman of the Banking Standards Board, as the two keynote speakers. Professor David Miles (Imperial College) gave the SUERF 2015 Annual Lecture on Capital and...
Persistent link: https://www.econbiz.de/10011557140
After briefly reviewing the major changes in the financial structure as well as the focal events that characterized the 2007-2008 global financial crisis, this paper considers the evidence for the crucial role played by misaligned incentives. Presumably because compensation was predicated on...
Persistent link: https://www.econbiz.de/10013104455
In this paper we empirically analyze the determinants of bank default risk (measured by the banks' CDS spreads) for … European banks during the period 2008-2018. We examine the effect of (1) bank business model characteristics, (2) sovereign … document that accommodative ECB actions in general lower bank default risk. We also show that the downward effect of monetary …
Persistent link: https://www.econbiz.de/10012834126
conditional profitability distributions. Real GDP growth and the NPL ratio are shown to be the most reliable determinants of bank …
Persistent link: https://www.econbiz.de/10012843521
banks submit in Term Deposit Facility operations, a Federal Reserve tool created to manage the quantity of central bank … banks when term deposits qualify for the LCR. These results suggest that liquidity regulation affects bank demand in …
Persistent link: https://www.econbiz.de/10012936122