Both the academic literature and the policy debate on systematic bailout guarantees and Government subsidies have …, we show that a systematic bailout regime increases the expected profits from coordination and simultaneously raises the … financial crisis and the extensive use of bailout schemes. …

This paper empirically investigates the effect of government bail-out policies on banks outside the safety net. We … construct a measure of bail-out perceptions by using rating information. From there, we construct the market shares of insured … bank bail-outs on banks' risk-taking behavior. -- Government bail-out ; implicit and explicit government guarantees …