The impact of FDICIA on bank returns and risk: Evidence from the capital markets

Journal of Banking and Finance

Volumn 25, Issue 2, 2001, Pages 393-417

  Akhigbe, Aigbe ^a   Whyte, Ann Marie ^b  

^a FLORIDA ATLANTIC UNIVERSITY   (United States)

^b UNIVERSITY OF CENTRAL FLORIDA   (United States)

Author keywords

Bank regulation; Bank risk; G21; G28; Wealth effects

Indexed keywords

EID: 0041405790     PISSN: 03784266     EISSN: None     Source Type: Journal    
DOI: 10.1016/S0378-4266(99)00131-4     Document Type: Article

References (25)

1. Aharony J., Saunders A., Swary I. The effects of a shift in monetary policy regime on the profitability and risk of commercial banks. Journal of Monetary Economics. 17:1986;363-377.
2. Aharony J., Saunders A., Swary I. The effects of DIDMCA on bank stockholders' returns and risk. Journal of Banking and Finance. 12:1988;317-331.
3. Alexander J.C., Spivey M.F. CEBA of 1987 and the security returns and market risk of savings and loan institutions: A note. Journal of Banking and Finance. 18:1994;1205-1215.
4. Allen P.R., Wilhelm W.J. The impact of the 1980 depository institutions deregulation and monetary control act on market value and risk: Evidence from the capital markets. Journal of Money Credit and Banking. 20:1988;364-380.
5. Berger A.N. The relationship between capital and earnings in banking. Journal of Money Credit, and Banking. 27:1995;432-456.
6. Bundt T.P., Cosimano T.F., Halloran J.A. DIDMCA and bank market risk: Theory and evidence. Journal of Banking and Finance. 16:1992;1179-1193.
7. Chance D.M., Lane W.R. A re-examination of interest rate sensitivity in the common stocks of financial institutions. Journal of Financial Research. 3:1980;49-55.
8. Cornett M., Tehranian H. Stock market reactions to the depository institutions deregulation and monetary control act of 1980. Journal of Banking and Finance. 13:1989;81-100.
9. Cornett M., Tehranian H. An examination of the impact of the Garn-St. Germain depository institutions act of 1982 on commercial banks and savings and loans. Journal of Finance. 45:1990;95-111.
10. Cosimano T.F., McDonald B. What's different among banks. Journal of Monetary Economics. 41:1998;57-70.
11. Dahl D., Spivey M.F. Prompt corrective action and bank efforts to recover from undercapitalization. Journal of Banking and Finance. 19:1995;225-243.
12. Flannery M.J., James C.M. The effect of interest rate changes on the common stock return of financial institutions. Journal of Finance. 39:1984a;1141-1153.
13. Flannery M.J., James C.M. Market evidence on the effective maturity of bank assets and liabilities. Journal of Money Credit and Banking. 16:1984b;435-445.
14. Giliberto M. Interest rate sensitivity in the common stocks of financial intermediaries: A methodological note. Journal of Financial and Quantitative Analysis. 20:1985;123-126.
15. Johnston, J., 1984. Econometric Methods, 3rd edn. McGraw-Hill, New York.
16. Kane E.J., Unal H. Change in market assessments of deposit-institution riskiness. Journal of Financial Services Research. 1:1988;207-229.
17. Koehn M.F., Stangle B.E. The effect of deposit-rate ceilings on bank risk: A comment. Journal of Banking and Finance. 4:1980;381-386.
18. Liang Y., Mohanty S., Song F. The effect of the Federal Deposit Insurance Corporation Improvement Act (FDICIA) of 1991 on bank stocks. Journal of Financial Research. 19:1996;229-242.
19. Madura J., Bartunek K. Valuation effects of the FDIC Improvement Act. Applied Financial Economics. 5:1995;191-198.
20. Mingo J.J. The effect of deposit rate ceilings on bank risk. Journal of Banking and Finance. 2:1978;367-378.
21. Peltzman S. Toward a more general theory of regulation. Journal of Law and Economics. 19:1976;211-240.
22. Smirlock M. An analysis of bank risk and deposit rate ceilings: Evidence from the capital markets. Journal of Monetary Economics. 13:1984;195-210.
23. Sundaram S., Rangan N., Davidson III W.N. The market valuation effects of the Financial Institutions Reform, Recovery and Enforcement Act of 1989. Journal of Banking and Finance. 16:1992;1097-1122.
24. Unal H., Kane E.J. Two approaches to assessing the interest rate sensitivity of deposit-institutions' equity returns. Research in Finance. 7:1987;113-138.
25. Wall, L.D., 1993. Too-big-to-fail after FDICIA. Economic Review Federal Reserve Bank of Atlanta, pp. 1-14.