finds that banks that record timelier loan loss provisions originate more loans during downturns, consistent with loan-loss …Economic policymakers express concern that procyclical lending by banks imperils financial stability. Prior research …-provision timeliness mitigating loan-origination procyclicality. Motivated by this concern and research, we examine whether banks' credit …

The Current Expected Credit Loss (CECL) framework represents a new approach for calculating the allowance for credit …, a key implementation element. Our analysis focuses on three major themes: defaults, balances, and credit loss. Our …

The Current Expected Credit Loss (CECL) framework represents a new approach for calculating the allowance for credit …, a key implementation element. Our analysis focuses on three major themes: defaults, balances, and credit loss. Our …

Bank regulators and academics have long conjectured the beneficial effects of smoothing in loan loss provisions (i … ensuing contractions in bank lending are weaker for banks that built buffers via smoothing. These lending differences … translate into positive real effects for the buffering banks' small borrowers. However, consistent with the dark-side, these …

loan loss provisions, inducing a V-shaped relation between loan loss provisions and nonperforming loan changes. Failure to … the effects of delayed loan loss recognition in prior papers that assumed linearity. Future researchers should either … include net loan charge-offs in linear models of loan loss provisions or explicitly model the asymmetry induced by omitting …

loan loss provisions, inducing a V-shaped relation between loan loss provisions and nonperforming loan changes. Failure to … the effects of delayed loan loss recognition in prior papers that assumed linearity. Future researchers should either … include net loan charge-offs in linear models of loan loss provisions or explicitly model the asymmetry induced by omitting …

Business cycles imply liquidity risks for banks. This paper explores how these risks influence bank lending over the … cycle. With forward-looking banks, lending cycles, credit booms and busts, or suppressed and highly fragile bank systems can …

The loan impairment rules recently introduced by IFRS 9 require banks to estimate their future credit losses by using … discretion that is inherent to rules requiring forward-looking loss estimation. At the same time, banks also reduce their lending … forward-looking information. We use supervisory loan-level data from Germany to investigate how banks apply their reporting …