Deposit Insurance, Capital Regulations, and Financial Contagion in Multinational Banks

Banking sector globalization has caused an expansion in foreign-owned bank assets. In this paper we analyse the effects of a MNB's liability structure upon its investment in a foreign country. We develop a model in which capital adequacy requirements introduce some deliberate underinvestment wh...

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Bibliographic Details
Main Authors: Morrison, A, Loranth, G
Format: Journal article
Published: 2007