Bank of Scotland with those at non-ailing banks in the UK; the other compares remuneration policies at UBS and Credit …

banks are commonly excluded. We address this gap and investigate bank CEOs’ decisions on the Transaction Account Guarantee … tension to current CEO literature, bank CEOs behave differently and thus, policymakers do not have to contest with CEO … characteristics concerning participation in stimulus. Additionally, the relationships between banks and bank holding companies (BHCs …

banking sector has evolved over time, and how risk management policies, the behavior of non-CEO executives and bank tail risk … 1994 to 2004, coinciding with major bank deregulation. Using an index reflecting the strength of risk management functions …

generated by the firm but borne by society. Recent advances in measuring liquidity creation (Berger and Bouwman, 2009) and … that CEO pay-performance incentives reduce both positive liquidity creation externalities and negative systemic risk … externalities, while pay-risk incentives increase both externalities. Our findings infer a tradeoff for bank regulators …

We analyze the role of using CEO compensation and capital requirements in bank regulation. With a passive uninformed … board that delegates the choice of bank strategy to the CEO, requiring a compensation contract where the CEO receives a … fixed fraction of total bank payoff eliminates the risk shifting problem and can implement first best; no additional …

In the wake of the global financial crisis, attention has often focused on whether incentives generated by bank … for bank executives: incentive compensation should consist only of restricted stock and restricted stock options … focus bank managers' attention on the long-run and discourage them from investing in high-risk, value-destroying projects …