suggest that, to the extent that consumers can benefit from lower costs of bank production, policies that promote a more …

orientation - and economic performance in the real sector. We argue that the relative effectiveness of bank-based versus market … find that while market-based systems outperform bank-based systems among countries with developed financial sectors, bank … bank-based systems and those dominated by larger firms in market-based systems. The findings suggest that recent trends in …

We present a model of bank passivity and regulatory failure. Banks with low equity positions have more incentives to be … rates may act as an early warning signal of bank failure. We provide empirical evidence that the balance sheet information … collected by the Czech National Bank is not a better predictor of bank failure than higher deposit rates. This confirms the …

This paper models the credit-seeking behavior of a firm when applying for a bank loan increases the probability of … that if the probability of paying taxes increases as a result of applying for a bank loan, profit maximizing firms will be … existing investments, the less likely it will be to borrow from a bank to finance a new investment project. In an economy where …

We analyze the relationship between bank size and risk-taking under the New Basel Capital Accord. Using a model with …