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 … increases bank risk. Further, interstate banking reduces bank risk more in sparsely populated states. Additional analyses …

decrease a bank's incentive to take risk with its remaining ineligible assets. A greater capacity to respond to liquidity … stress increases the potential profits a bank would put at stake by making risky investments, but it also mitigates the … illiquidity disadvantages of holding risky assets. We then empirically estimate the effect of two liquidity regulations on bank …

a tax onshadow bank profits …

This study investigated the impact of banking integration on recipient country bank default risk and, in particular … study found that banking integration lowers bank default risk in recipient countries. The foreign claims that Asian lenders …

since the financial crisis of 2007-08 to address weaknesses in bank risk culture. The paper suggests that shortcomings in …

Bank capital requirements are based on a mix of market values and book values. We investigate the effects of a policy … banking organizations. Our analysis is based on security-level data on individual bank portfolios matched to bond …

-dependent bank capital regulation (CR). Bank leverage choices are subject to the risk-return trade-off: high leverage increases … expected return on capital, but also increases return variance and bank failure risk. Financial frictions imply that bank … leverage choices are socially inefficient, providing scope for a welfare-enhancing CR that imposes a cap on bank leverage. The …

We outline a variety of hypotheses regarding bank risk-taking behavior in a transition period prior to the …

I test the market discipline of bank risk hypothesis by examining whether banks choose risk management policies that … of U.S. insured commercial banks over the 1995-2009 period, I document that the ratio of subordinated debt affects bank …