raised concerns that existing provision accounting may be procyclical. Most related studies have found evidence of …

This paper examines the effect of economic policy uncertainty (EPU) on loan loss provisions (LLP). Using a sample of 6 … tend to increase their loan loss provisioning. Considering the four components of EPU (the news-based, tax expirations … majority of the explanatory power on loan loss provisions originates from news-based and tax expiration indices. Moreover, US …

I study whether banks' loan loss provisioning contributed to economic downturns by examining the U.S. housing market …. Specifically, I examine the influence of delayed loan loss recognition (DLR) on bank lending and risk-taking in the U.S. mortgage … consumption. These findings suggest banks' loan loss provisioning affected loan supply and risk-taking, exacerbating the economic …