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The paper examines the basic rationale and features of the proposals adopted to separate specific investment and commercial banking activities (Volcker rule, Vickers and Liikanen proposals). In particular, it focuses on the likely implications of such initiatives for: (i) financial stability and...
Persistent link: https://www.econbiz.de/10013081961
This paper documents large cross-country variation in the relationship between bank competition and bank stability and …
Persistent link: https://www.econbiz.de/10013114400
This paper documents large cross-country variation in the relationship between bank competition and bank stability and …
Persistent link: https://www.econbiz.de/10013115499
We present a model in which shadow banking arises endogenously and undermines market discipline on traditional banks. Demandable deposits impose market discipline: Without shadow banking, traditional banks optimally pursue a safe portfolio strategy to prevent early withdrawals. Shadow banking...
Persistent link: https://www.econbiz.de/10012900681
since the financial crisis of 2007-08 to address weaknesses in bank risk culture. The paper suggests that shortcomings in …
Persistent link: https://www.econbiz.de/10012894261
a tax onshadow bank profits …
Persistent link: https://www.econbiz.de/10012929925
Since the European debt crisis economists and politicians discuss intensively the sovereign-bank nexus. The high … exposure on bank stability. This paper provides a new way to use European stress test data to study this relationship. In … addition, we explore the effect on a bank’s probability of default if the existing capital requirement privilege for EU …
Persistent link: https://www.econbiz.de/10012510319
of bank complexity. Yet, surprisingly little is known about changes in complexity across countries, its drivers, and its …
Persistent link: https://www.econbiz.de/10012520294
Bank holding companies (BHCs) can be complex organizations, conducting multiple lines of business through many distinct … legal entities and across a range of geographies. While such complexity raises the costs of bank resolution when …, liquidity management, and synergy improvements that reduce risk. The outcomes of such trade-offs may depend on bank governance …
Persistent link: https://www.econbiz.de/10012234342
. Since the establishment of the Banking Union in 2014, the European Central Bank (ECB) can impose stricter regulations than … bank's contribution to systemic risk (SRISK) at the national and the euro-area level. Our research delivers three main …, an exploration of the drivers of systemic risk shows that a bank’s contribution to systemic risk is positively related to …
Persistent link: https://www.econbiz.de/10011640989