Are the causes of bank distress changing? can researchers keep up?
Thomas King,
Daniel A. Nuxoll and
Timothy J. Yeager
Review, 2006, vol. 88, issue Jan, 57-80
Abstract:
Since 1990, the banking sector has experienced enormous legislative, technological, and financial changes, yet research into the causes of bank distress has slowed. One consequence is that traditional supervisory surveillance models may not capture important risks inherent in the current banking environment. After reviewing the history of these models, the authors provide empirical evidence that the characteristics of failing banks have changed in the past ten years and argue that the time is right for new research that employs new empirical techniques. In particular, dynamic models that use forward-looking variables and address various types of bank risk individually are promising lines of inquiry. Supervisory agencies have begun to move in these directions, and the authors describe several examples of this new generation of early-warning models that are not yet widely known among academic banking economists.
Keywords: Bank supervision; Risk management (search for similar items in EconPapers)
Date: 2006
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (21)
Downloads: (external link)
https://files.stlouisfed.org/files/htdocs/publicat ... KingNuxollYeager.pdf (application/pdf)
Related works:
Working Paper: Are the causes of bank distress changing? can researchers keep up? (2004)
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:fip:fedlrv:y:2006:i:jan:p:57-80:n:v.88no.1
Access Statistics for this article
Review is currently edited by Juan M. Sanchez
More articles in Review from Federal Reserve Bank of St. Louis Contact information at EDIRC.
Bibliographic data for series maintained by Scott St. Louis ().