Although policymakers often discuss tradeoffs between bank competition and stability, past research provides differing … competition materially boosts individual and systemic bank risk. With respect to the mechanisms, we find that competition reduces … theoretical perspectives and empirical results on the impact of competition on risk. In this paper, we employ a new approach for …

Although policymakers often discuss tradeoffs between bank competition and stability, past research provides differing … competition materially boosts bank risk. With respect to the mechanisms, we find that competition reduces bank profits, charter … theoretical perspectives and empirical results on the impact of competition on risk. In this paper, we employ a new approach for …

We examine the effects of competition on bank risk. We find strong evidence that interstate banking deregulation … — which generally increases bank competition — is associated with lower bank risk and some evidence intrastate branching … suggest that in contrast to previous studies that focus on large banks, the impact of interstate banking deregulation on bank …