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Banks are growing ever larger compared to their national economies. We show that increases in relative bank size … (measured as a bank's liabilities divided by national GDP) are linked to banks displaying higher tail risk. This effect is not … entirely due to risk channels that disproportionately expose relatively large banks to systematic tail risks, sovereign risks …
Persistent link: https://www.econbiz.de/10012974803
are more associated with the structure of the applicable bankruptcy laws and methods available to resolve a failed … directed first at closing institutions promptly, reforming bankruptcy statutes to admit special procedures for handling bank … credit. -- Cross-border banking ; financial crises ; bankruptcy ; branching ; banking subsidiaries ; supervision and …
Persistent link: https://www.econbiz.de/10003730539
In general, banks play a growth-enhancing role for the real economy. However, distorted incentives for banks …, depositors, and regulators in connection with bank insolvency may corrupt banks' credit allocation and monitoring decisions …, leading to suboptimal real economic outcomes. A rules-based prompt resolution regime for insolvent banks may reestablish the …
Persistent link: https://www.econbiz.de/10009751064
This paper is an introductory survey of bankruptcy and insolvency theory and practice relating to the introduction of … Shari'ah principles into secular bankruptcy and insolvency regimes in both jurisdictions that incorporate the Shari'ah, to … the Shari'ah principles that are applicable in the bankruptcy and insolvency context. Thereafter, the paper notes the …
Persistent link: https://www.econbiz.de/10013114820
bankruptcy of a financial institution. The paper uses insights of law and economics to predict the effects of compensation …
Persistent link: https://www.econbiz.de/10013117821
The failure of financial institutions is often depicted as an externally-driven event in which certain triggers almost inevitably lead to the collapse of the firm. In contrast, this paper views institutional failure as a multistage process in which precautionary measures taken by the firm can...
Persistent link: https://www.econbiz.de/10013089043
Persistent link: https://www.econbiz.de/10013002875
This article analyzes bank bankruptcy regimes across 142 countries. By employing factor analysis, we identify five main … dimensions of bank bankruptcy frameworks: (1) Difficulty of forbearance & ease of court appeal, (2) Availability of supervisory … bank bankruptcy frameworks: a court-led and administrative bank bankruptcy regime. Administrative bank bankruptcy regimes …
Persistent link: https://www.econbiz.de/10013051266
Banks are regarded as special institutions, and regulated and supervised heavily than other institutions. However …, regulation and supervision cannot achieve zero failure regimes. Banks fail like any other commercial entities, and will continue …
Persistent link: https://www.econbiz.de/10013052778
This article analyzes bank bankruptcy regimes across 142 countries. By employing factor analysis, we identify five main … dimensions of bank bankruptcy frameworks: (1) Difficulty of forbearance & ease of court appeal, (2) Availability of supervisory … bank bankruptcy frameworks: a court-led and administrative bank bankruptcy regime. Administrative bank bankruptcy regimes …
Persistent link: https://www.econbiz.de/10013053081