Banking crises and market discipline: International evidence

Journal of Banking and Finance

Volumn 36, Issue 8, 2012, Pages 2285-2298

  Cubillas, Elena ^a   Fonseca, Ana Rosa ^a   González, Francisco ^a  

^a UNIVERSITY OF OVIEDO   (Spain)

Author keywords

Banking crisis; Crisis intervention; Institutions; Market discipline; Regulation; Supervision

Indexed keywords

EID: 84862177421     PISSN: 03784266     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.jbankfin.2012.04.011     Document Type: Article

References (41)

1. Arellano M., Bond S. Some test of specification for panel data: Monte Carlo evidence and application to employment equations. Review of Economic Studies 1991, 58:227-297.
2. Barajas, A., Steiner, R., 2000. Depositor behavior and market discipline in Colombia. IMF Working Paper 00/214.
3. Barth J.R., Caprio G., Levine R. Bank regulation and supervision: what works best?. Journal of Financial Intermediation 2004, 13:205-248.
4. Beck T., Demirgüç-Kunt A., Maksimovic V. The influence of financial and legal institutions on firm size. Journal of Banking and Finance 2006, 30:2995-3015.
5. Berger A., Hannan T.H. The price-concentration relationship in banking. The Review of Economics and Statistics 1989, 71:291-299.
6. Calomiris C.W., Wilson B. Bank capital and portfolio management: the 1930s capital crunch and scramble to shed risk. Journal of Business 2004, 77:421-455.
7. Caprio, G., Honohan, P., 2004. Can the unsophisticated market provide discipline? Policy Research Working Paper 3364, World Bank.
8. Caprio G., Klingebiel D. Episodes of Systemic and Borderline Financial Crises 2003, World Bank Research Dataset.
9. Claessens S., Laeven L. What drives bank competition? Some international evidence. Journal of Money, Credit, and Banking 2004, 36:585-592.
10. Claessens S., Klingebiel D., Laeven L. Crisis resolution, policies, and institutions: empirical evidence. Systemic Financial Crises: Containment and Resolution 2005, 169-194. Cambridge University Press, Cambridge, (Chapter 6). P. Honohan, L. Laeven (Eds.).
11. Cook D., Spellman L. Repudiation risk and restitution costs: toward understanding premiums on insured deposits. Journal of Money, Credit and Banking 1994, 26:439-459.
12. Dell'Ariccia G., Detragiache E., Rajan R.G. The real effect of banking crises. Journal of Financial Intermediation 2008, 17:89-112.
13. Demirgüç-Kunt A., Huizinga H. Market discipline and deposit insurance. Journal of Monetary Economics 2004, 51:375-399.
14. Demirguç-Kunt A., Laeven L., Levine R. Regulations, market structure, institutions, and the cost of financial intermediation. Journal of Money, Credit, and Banking 2004, 36:593-622.
15. Ellis D., Flannery M. Does the debt market assess large banks' risk? Time series evidence from money center CDs. Journal of Monetary Economics 1992, 30(3):481-502.
16. Flannery M., Rangan K.P. What caused the bank capital build-up of the 1990s?. Review of Finance 2008, 12:391-429.
17. Flannery M., Sorescu S. Evidence of bank market discipline in subordinated debenture yields: 1983-1991. Journal of Finance 1996, 51:1347-1377.
18. Fonseca A.R., González F. How bank capital vary across countries: the influence of cost of deposits, market power and bank regulation. Journal of Banking and Finance 2010, 34:892-902.
19. Furfine C. Banks as monitors of other banks: evidence from the overnight federal funds markets. Journal of Business 2001, 74:33-57.
20. Gropp R., Vesala J. Deposit insurance, moral hazard and market monitoring. Review of Finance 2004, 8:571-602.
21. Hadad M.D., Agusman A., Monroe G.S., Gasbarro D., Zumwalt J.K. Market discipline, financial crisis and regulatory changes: evidence from Indonesian banks. Journal of Banking and Finance 2011, 35:1552-1562.
22. Hancock D., Kwast M.L. Using subordinated debt to monitor bank holding companies: is it feasible?. Journal of Financial Services Research 2001, 20:147-187.
23. Hoggarth G., Jackson P., Nier E. Banking crises and the design of safety nets. Journal of Banking and Finance 2005, 29:143-159.
24. Honohan P., Klingebiel D. The fiscal cost implications of an accommodating approach to banking crises. Journal of Banking and Finance 2003, 27:1539-1560.
25. Kane E.J., Klingebiel D. Alternatives to blanket guarantees for containing a systemic crisis. Journal of Financial Stability 2004, 1:31-63.
26. Kaufman D., Kraay A., Zoido-Lobaton P. Governance Matters II: Update Indicators for 2000/01 2001, World Bank.
27. Keeley M.C. Deposit insurance, risk, and market power in banking. American Economic Review 1990, 80:1183-1200.
28. Kroszner R.S., Laeven L., Klingebiel D. Banking crises, financial dependence, and growth. Journal of Financial Economics 2007, 84:187-228.
29. La Porta R., Lopez-de-Silanes F., Shleifer A., Vishny R.W. Legal determinants of external finance. Journal of Finance 1997, 52:1131-1150.
30. La Porta R., Lopez-de-Silanes F., Shleifer A., Vishny R.W. Law and finance. Journal of Political Economy 1998, 106:1113-1155.
31. Laeven L., Levine R. Bank governance, regulation and risk taking. Journal of Financial Economics 2009, 93:259-275.
32. Laeven, L., Valencia, F., 2008. Systemic banking crises: a new database. IMF Working Paper, No. 08/224.
33. Lown C., Peristiani S. The behavior of consumer loan rates during the 1990 credit slowdown. Journal of Banking and Finance 1996, 20:1673-1694.
34. Maechler A.M., McDill K.M. Dynamic depositor discipline in US banks. Journal of Banking and Finance 2006, 30:1871-1898.
35. Martinez Peria M.S., Schmukler S.L. Do depositors punish banks for bad behavior?. Journal of Finance 2001, 56:1029-1051.
36. Maudos J., Fernández de Guevara J. Factors explaining the interest margin in the banking sectors of the European Union. Journal of Banking and Finance 2004, 28:2259-2281.
37. Mondschean T.S., Opiela T.P. Bank time deposit rates and market discipline in Poland: the impact of state ownership and deposit insurance reform. Journal of Financial Services Research 1999, 15:179-196.
38. Nier E., Baumann U. Market discipline, disclosure and moral hazard in banking. Journal of Financial Intermediation 2006, 15:332-361.
39. Park S., Peristiani S. Market discipline by thrift depositors. Journal of Money, Credit, and Banking 1998, 30:347-364.
40. Rajan R.G., Zingales L. Financial dependence and growth. American Economic Review 1998, 88:559-596.
41. Rosen R.J. Banking market conditions and deposit interest rates. Journal of Banking and Finance 2007, 31:3862-3884.