equity that behaves like the predetermined variable, and the asset size of the bank or financial intermediary is determined … nonpecuniary benefits to bank owners so that they are reluctant to raise new equity, even during boom periods when raising equity …-based financial intermediaries such as the Wall Street investment banks, as well as the commercial bank subsidiaries of the large U …

finance premium, while a BGG model generates too low volatility. The full model also matches the procyclicality of bank …

of collateralized risky debt. The presence of moral hazard creates a link between the volatility in bank asset returns … and bank leverage. We find that, while standard TFP shocks fail to replicate the volatility and cyclicality of leverage …

recognizing greater risks and losses, can lead to solvency problems that look like liquidity (bank-run) crises. Regulatory …

recognizing greater risks and losses, can lead to solvency problems that look like liquidity (bank-run) crises. Regulatory …

Following the global financial crisis of 2008/2009, many European countries introduced bank levies to enable financial … institutions to share in the costs of future banking crises via resolution and restructuring funds. Simultaneously, bank levies can … from banks’ balance sheets, this report investigates to what extent bank levies have reduced leverage ratios and what role …