CAN TAXES TAME THE BANKS? EVIDENCE FROM THE EUROPEAN BANK LEVIES

• 成果类型: Article
• 署名作者: Devereux, Michael; Johannesen, Niels; Vella, John
• 署名单位: University of Oxford; University of Oxford; University of Copenhagen; University of Oxford; University of Oxford
• 刊物名称: ECONOMIC JOURNAL
• ISSN/ISSBN: 0013-0133
• DOI: 10.1093/ej/uez028
• 发表日期: 2019
• 页码: 3058-3091
• 关键词: Capital requirements; RISK; BEHAVIOR; DESIGN

摘要

Following the 2007-2008 financial crisis, a large number of countries introduced levies on bank borrowing intended to reduce risk in the financial sector. This article studies the behavioural responses to bank levies and finds that banks exposed to levies increased their reliance on equity funding, but at the same time increased the risk of their assets; banks shifted risk from the liability side of their balance sheets to the asset side, which mitigated the impact of government intervention. Our analysis also shows that any reduction in total risk was concentrated among banks that pose no or little threat to financial stability.