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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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bank lending. We are using a dataset on assets and liabilities of commercial banks from five countries (France, Germany …
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located in France, Germany, the U.K., and the U.S. under different assumptions about currency hedging. We compare these …
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