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regulatory liquidity requirements on bank behavior. A multi-stage decision situation allows for considering the interaction … between credit risk and liquidity risk of banks. This interaction is found to make a risk neutral bank behave as if it were …
Persistent link: https://www.econbiz.de/10010344667
firm incentives in a post-reform financial system. -- Financial regulatory reform ; corporate governance ; bank charter … ; bank insolvency …
Persistent link: https://www.econbiz.de/10008657240
management. Politicians may also be less educated and experienced to fulfil their role as monitor of bank managers. This …, suggests that shareholders pushed for greater risk-taking and not managers. This contrast with public view that the bank …
Persistent link: https://www.econbiz.de/10014198084
This study examines the long-term impact of the TARP bailout on bank risk-taking. Using data from 2005 to 2014, our … effects on bank liquidity provision since liquidity provision is closely related to risk-taking. The effect pattern is similar … to that in risk-taking. We further show that loan issuance is a channel behind the TARP effect on bank risk-taking. The …
Persistent link: https://www.econbiz.de/10014354879
regulations, activity restrictions, and supervisory authorities reduce the risk of bank insolvency. The results suggest that a …
Persistent link: https://www.econbiz.de/10014502813
We apply sentiment analysis to Twitter messages in Spanish to build a sentiment risk index for the financial sector in Mexico. We classify a sample of tweets from 2006-2019 to identify messages in response to a positive or negative shock to the Mexican financial sector, relative to merely...
Persistent link: https://www.econbiz.de/10012659015
We study the impact of China's 2013 implementation of Basel III on bank risk-taking and its responses to monetary … policy shocks using confidential loan-level data from a large Chinese bank. Guided by theory, we use a difference …-in-difference identification, exploiting cross-sectional differences in lending behaviors between highrisk and low-risk bank branches before and …
Persistent link: https://www.econbiz.de/10012665291
This study investigates spillover effects of banks' liquidity risk control on the real economy by using the introduction of the Basel III liquidity regulation as shocks to banks. Since the Basel Committee's endorsement of this regulation in 2010, banks exposed to high liquidity risk have...
Persistent link: https://www.econbiz.de/10012854990
I study the association between bank financial reporting opacity, measured by delayed expected loan loss recognition …, and the intervention decisions made by bank regulators. Examining U.S. commercial banks during the 2007-2009 financial … the extant literature on bank opacity, regulatory forbearance, and the consequences of loan loss provisioning by …
Persistent link: https://www.econbiz.de/10012855155
This paper examines how a regulatory design with multiple supervisory agencies translates into firm-level compliance in form and substance with disclosure regulations. We exploit the fact that banks are subject to equivalent risk disclosure rules under securities laws (IFRS 7) and banking...
Persistent link: https://www.econbiz.de/10012856289