Duchin, Ran; Sosyura, Denis - In: Journal of Financial Economics 113 (2014) 1, pp. 1-28
assistance on bank risk taking. Bailed-out banks initiate riskier loans and shift assets toward riskier securities after … receiving government support. However, this shift in risk occurs mostly within the same asset class and, therefore, remains … appear safer according to regulatory ratios, but show an increase in volatility and default risk. These findings are robust …