We examine whether the uncertainty related to environmental, social, and governance (ESG) regulation developments is … reflected in asset prices. We proxy the sensitivity of firms to ESG regulation uncertainty by the disparity across the … tail risk. The impact of the misalignment across the different dimensions of the ESG score is distinct from that of ESG …

paper shows that financial regulation can be effective at mitigating this type of risk. Exploiting regulatory changes … financial institutions subject to stricter regulation. Following the easing of these regulations, overconfidence-induced risk …A large body of literature finds that managerial overconfidence increases risk-taking by financial institutions. This …

paper shows that financial regulation can be effective at mitigating this type of risk. Exploiting regulatory changes … financial institutions subject to stricter regulation. Following the easing of these regulations, overconfidence-induced risk …A large body of literature finds that managerial overconfidence increases risk-taking by financial institutions. This …

risk. In this model, banks face taxation, flotation costs of securities, and default costs and maximize shareholder value …

This paper examines the simultaneous relationship between bank capital and risk. A model is set up which assumes that … banks’ decisions regarding capital and risk are made endogenously in a dynamic pattern. A simultaneous equation system was … relationship between regulatory (equity) capital and risk which is positive (negative). However, a positive two-way relationship …

This paper examines the simultaneous relationship between bank capital and risk. A model is set up which assumes that … banks’ decisions regarding capital and risk are made endogenously in a dynamic pattern. A simultaneous equation system was … relationship between regulatory (equity) capital and risk which is positive (negative). However, a positive two-way relationship …

Complex regulatory decisions about risk rely on the brokering of evidence between providers and recipients, and involve … risk science, decision psychology and computer simulation. A two-agent model that accounts for the sufficiency of evidence …

With the introduction of incentive regulation in many network industries, different approaches how to remunerate … invested capital have been used. Under incentive regulation, many regulators remunerate the regulated asset base with a ….e. finding the right balance between equity financing and debt. Taggert (1981) shows that rate-of-return regulation creates an …