This paper presents a model of shadow banking in which the shadow and the traditional banking systems share a symbiotic relationship. The analysis shows that competition with an opaque and fragile shadow bank can bene…t the traditional bank, especially when the traditional bank faces liquidity risk stemming from collective actions by investors, such as runs. The opacity and fragility of the sha...

This paper studies the capital structure dynamics of central and eastern European firms to better understand the quantitative and qualitative development of financial systems in this region. The dynamic model used endogenises the target leverage as well as the adjustment speed towards these targets. It is applied to microeconomic data for 10 countries. We find that during the transition process...

This paper deals with the Queueing theory and the analysis of queueing system by using probability curves. Starting with the basis of the distributions and important concepts of queueing theory, probability curves of Gamma distribution are used to analyse the banking service.

today, banks, as intermediaries, seek to attract and allocate resources to obtain greater benefit. therefore, the bank assessment is considered as an important subject in the banking industry. data envelopment analysis is an effective technique in evaluating the efficiency of decision-making units. there are factors among banking indices (such as receivables from resource allocation) that are i...

This paper proposes a novel model for the prediction of bank failures, on the basis of both macroeconomic and bank-specific microeconomic factors. As bank failures are rare, in the paper we apply a regression method based on extreme value theory, which turns out to be more effective than classical logistic regression models, as it better leverages the information in the tail of the default dist...

This paper develops a structural, dynamic model of a banking firm to analyse how banks adjust their loan portfolios over time. In the model, banks experience capital shocks, face uncertain future loan demand, and incur costs based on their proximity to regulatory minimum capital requirements. Non-linear relationships between bank capital levels and lending are derived from the model, and key pa...

We propose a simple model of inter-bank borrowing and lending where the evolution of the logmonetary reserves of N banks is described by a system of diffusion processes coupled through their drifts in such a way that stability of the system depends on the rate of inter-bank borrowing and lending. Systemic risk is characterized by a large number of banks reaching a default threshold by a given t...

During the mid-1980s, development planners realised that people's participation was imperative for the success of any development project. These projects were addressed to the people who had to be the main actors of their own development. An Integrated Rural Water Supply and Environment Sanitation Project (IRWS & ES), sponsored by the World Bank, was one such programme that laid heavy emphasis ...