Bank Runs, Bank Competition and Opacity

Toni Ahnert & David Martinez-Miera
"How is the stability of the financial sector affected by competition in the deposit market and by banks’ choices about the level of transparency? We propose a model in which both elements interact and influence investors’ withdrawal decisions and banks’ level of distress (that is, the probability banks will default on their debt). The model also shows how measures regulating bank competition and bank transparency affect the stability of the financial sector. Banks face a...
This data repository is not currently reporting usage information. For information on how your repository can submit usage information, please see our documentation.