Healthy banks are crucially important for smooth lending. Correspondingly, bank regulations including Basel III intend … especially during the transition period. Using data on firm-bank relationships in Germany between 2005 and 2007, we show that the … debt ratio of banks is related to the bank loan risk. In order to assess the potential effect of tighter capital …

the Basel II agreement on the pro-cyclicality of bank lending and firms' access to funds during a recession. In response …

-cyclicality of bank lending and firms' access to funds. In response to an exogenous shock to credit risk in the German economy …

the security level for each bank in each period, we find that during the crisis, banks with higher trading expertise …

level. All of the effects are more pronounced for trading banks with higher capital levels. Finally, banks use central bank …

the Basel II agreement on the pro-cyclicality of bank lending and firms' access to funds during a recession. In response …

of higher capital requirements on the cost of capital. We find that bank's funding costs increase insignificantly for …