How Do Banks Determine Capital? Evidence from Germany

Kleff Volker and Martin Weber
Additional contact information
Kleff Volker: Centre for European Economic Research (ZEW),Mannheim, Germany

German Economic Review, 2008, vol. 9, issue 3, 354-372

Abstract: We analyse whether the determinants of capital found in the previous literature hold for the special German banking sector comprising three characteristic banking groups including savings banks, cooperative banks and other banks, which differ regarding their ownership and their access to the capital market. Through the use of accounting data from German banks between 1992 and 2001 we find evidence in accordance with the buffer theory of capital for all German banking groups. Furthermore, we also detect some remarkable differences between the three banking groups regarding their determination of capital due to institutional characteristics.

Keywords: Bank capital; portfolio risk; bank regulation; German banking system (search for similar items in EconPapers)
Date: 2008
References: Add references at CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
https://doi.org/10.1111/j.1468-0475.2008.00437.x (text/html)
For access to full text, subscription to the journal or payment for the individual article is required.

Related works:
Journal Article: How Do Banks Determine Capital? Evidence from Germany (2008)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bpj:germec:v:9:y:2008:i:3:p:354-372

Ordering information: This journal article can be ordered from
https://www.degruyter.com/journal/key/ger/html

DOI: 10.1111/j.1468-0475.2008.00437.x

Access Statistics for this article

German Economic Review is currently edited by Peter Egger, Almut Balleer, Jesus Crespo-Cuaresma, Mario Larch, Aderonke Osikominu and Georg Wamser

More articles in German Economic Review from De Gruyter
Bibliographic data for series maintained by Peter Golla ().