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Persistent link: https://www.econbiz.de/10012583376
I consider banks' role in providing funding liquidity (the ability to raise cash on demand) and market liquidity (the ability to trade assets at low cost), and how these roles have evolved. Traditional banks made illiquid loans funded with liquid deposits, thus producing funding liquidity on the...
Persistent link: https://www.econbiz.de/10012759533
We investigate how banking relationships that combine lending and underwriting services affect the terms of lending …
Persistent link: https://www.econbiz.de/10012760608
We use exogenous variation in the degree of restrictions to bank competition across Italian provinces to study both the effects of bank regulation and the impact of deregulation. We find that where entry was more restricted the cost of credit was higher and - contrary to expectations- access to...
Persistent link: https://www.econbiz.de/10012760665
This article examines the practice of tying,' which occurs when an underwriter lends to an issuer around the time of a public securities offering. We examine whether there are efficiencies from tying lending and underwriting which lead to benefits for issuers and underwriters. We find evidence...
Persistent link: https://www.econbiz.de/10012762631
In the last two decades the European financial markets have become more market oriented. We analyze the economic and political forces that have triggered these changes as well as their likely welfare implications. We also try to assess whether this trend will continue. Based on our analysis, we...
Persistent link: https://www.econbiz.de/10012762834
a time series index to identify banking crisis episodes is highly difficult, particularly because of the lack of … reliable data on banking sector variables such as the level of non-performing loans. Accordingly, existing methods used to … pinpoint banking crisis years are generally event-based, such as that used by Caprio and Klingebiel (1996 and 1999) and …
Persistent link: https://www.econbiz.de/10012740956
billion in loans and grants to small businesses through the banking system. First, we provide empirical evidence of …
Persistent link: https://www.econbiz.de/10012705071
Persistent link: https://www.econbiz.de/10012705151
How do banks set their target capital ratio? How do they adjust to reach it? This paper answers these questions using an original dataset of capital ratio targets directly announced to investors by European banks, materially improving data quality compared to usual estimated implicit target. It...
Persistent link: https://www.econbiz.de/10012705420