In this paper, we investigate how the introduction of complex, model-based capital regulation affected credit risk of … financial institutions. Model-based regulation was meant to enhance the stability of the financial sector by making capital … introduce the model-based approach. Counter to the stated objectives, the introduction of complex regulation adversely affected …

In this paper, we investigate how the introduction of complex, model-based capital regulation affected credit risk of … financial institutions. Model-based regulation was meant to enhance the stability of the financial sector by making capital … introduce the model-based approach. Counter to the stated objectives, the introduction of complex regulation adversely affected …

regulation. In part, this is due to their neglect of important regulatory choices, which policy-makers are therefore left to take …

regulation did not take the "big picture" of the system suffciently into account and, subsequently, financial supervision mainly … "missed the forest for the trees". As a result, the need for macroprudential aspects of regulation emerged, which has recently … macroprudential regulation in creating stable, yet effcient financial systems. At the same time, I emphasize the importance of …

This paper provides the first empirical evidence on how home-country regulation and supervision affects bank risk … independently from the effect that bank balance sheets have on lending. These findings imply that loose home-country regulation and …

This paper empirically examines how banks' dividend policy, the institutional environment, and banking regulation … regulation varies for crisis and noncrisis years. The estimation results reveal that banks' dividend policy influences positively … banks' profitability, whereas higher levels of the institutional environment or stricter banking regulation reduces banks …