This paper reports estimates of the long-run costs and benefits of banks funding more of their assets with loss … of the benefits from having banks use more equity no estimate of costs - however accurate - can tell us what the optimal … level of bank capital is. We use empirical evidence on UK banks to assess costs; we use data from shocks to incomes from a …

This paper reports estimates of the long-run costs and benefits of banks funding more of their assets with loss … of the benefits from having banks use more equity no estimate of costs - however accurate - can tell us what the optimal … level of bank capital is. We use empirical evidence on UK banks to assess costs; we use data from shocks to incomes from a …

evidence on Swiss banks to assess both benefits and costs. The analysis yields two main conclusions. The long-run economic … leverage is a major driver of leverage in the banking sector. This suggests that macro-prudential measures such as the …

evidence on Swiss banks to assess both benefits and costs. The analysis yields two main conclusions. The long-run economic … leverage is a major driver of leverage in the banking sector. This suggests that macro-prudential measures such as the …

evidence on Swiss banks to assess both benefits and costs. The analysis yields two main conclusions. The long-run economic …

evidence on Swiss banks to assess both benefits and costs. The analysis yields two main conclusions. The long-run economic …

requirements using empirical evidence on Swiss banks to assess both benefits and costs. The analysis yields two main conclusions … note that the cyclical component of leverage is a major driver of leverage in the banking sector. This suggests that macro …

. We find that properly regulated banks voluntarily choose to maintain capital in excess of the minimum required. Central … banks in receivership stripping equity holders of firm value. These features of our model help explain both the capital … structure of the large mortgage Government Sponsored Enterprises and the recent increase in risk taking through leverage by …

government guarantees rather than from corporate governance failures within banks. The idea of the proposed regulation is to …

government guarantees rather than from corporate governance failures within banks. The idea behind the proposed regulatory … by curbing risk-taking incentives, the higher the leverage the bank is permitted to take on. Consequently, the risk …