shares of fee income since by expanding into non-traditional businesses the bank needs more capital to prevent the potential … be possibly attributed to relatively high switching costs and to close relationship between depositor and bank in the EU …

According to Article 210 of the Commercial Law, a bank (or a firm) with an intention of repurchasing shares has to make … two decisions at the board of directors. The one is the decision about whether a bank has a tendency of repurchasing …

Today’s regulatory rules, especially the easily-manipulated measures of regulatory capital, have led to costly bank … failures. We design a robust regulatory system such that (i) bank losses are credibly borne by the private sector (ii …) systemically important institutions cannot collapse suddenly; (iii) bank investment is counter-cyclical; and (iv) regulatory …

creating counter-cyclical incentives for banks to raise capital, and so encourage bank lending in bad times. They avoid the …