The DOI matches its Crossref record; 55 of the 55 references it cites were found in a registry or an index.
Bank Capital and Value in the Cross-Section
Abstract
We develop a dynamic model of bank capital structure in an acquisitions context which predicts: (i) total bank value and the bank's equity capital are positively correlated in the cross-section, and (ii) the various components of bank value are also positively cross-sectionally related to bank capital. Our empirical tests provide strong support for these predictions. The results are robust to a variety of alternative explanations--growth prospects, desire to acquire toe-hold positions, desire of capital-starved acquirers to buy capital-rich targets, market timing, pecking order, the effect of banks with binding capital requirements, Too Big To Fail, target profitability, risk, and mechanical effects. The Author 2011. Published by Oxford University Press on behalf of The Society for Financial Studies. All rights reserved. For Permissions, please e-mail: journals.permissions@oxfordjournals.org., Oxford University Press.
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Cites
Corporate financing and investment decisions when firms have information that investors do not have
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The Cost of Capital, Corporation Finance and the Theory of Investment
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The Determination of Financial Structure: The Incentive‐Signalling Approach,
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Financial Intermediation, Loanable Funds, and The Real Sector
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The Hubris Hypothesis of Corporate Takeovers
Roll, R. (1986) · The Journal of Business · doi:10.1086/296325 · Cited by 3,751
Managerial discretion and optimal financing policies
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Market Timing and Capital Structure
Baker, M., & Wurgler, J. (2002) · The Journal of Finance · doi:10.1111/1540-6261.00414 · Cited by 3,672
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The Economics of Money, Banking and Financial Markets
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Bank regulation and supervision: what works best?
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Thakor, A. V. (2020) · Journal of Financial Intermediation · doi:10.1016/j.jfi.2019.100833 · Cited by 1,378
Self-citationCredit Market Competition and Capital Regulation
Allen, F., Carletti, E., & Marquez, R. (2011) · Review of Financial Studies · doi:10.1093/rfs/hhp089 · Cited by 615
Current Issues in Economics and Finance
(2017) · Springer eBooks · doi:10.1007/978-981-10-5810-3 · Cited by 494
Safer ratios, riskier portfolios: Banks׳ response to government aid
Duchin, R., & Sosyura, D. (2014) · Journal of Financial Economics · doi:10.1016/j.jfineco.2014.03.005 · Cited by 459
Admati, A. R., DeMarzo, P. M., Hellwig, M. F., & Pfleiderer, P. C. (2013) · SSRN Electronic Journal · doi:10.2139/ssrn.2349739 · Cited by 444
Metadata
- Authors
- Mehran, H., & Thakor, A.
- Venue
- Review of Financial Studies
- Publisher
- Oxford University Press (OUP)
- Published
- 2010-04-21
- Volume
- 24
- Issue
- 4
- Pages
- 1019-1067
- ISSN
- 0893-9454 (ISSN-L)
- 1465-7368
- OpenAlex
- W1910225015
- Cited by
- 465
- References
- 55
- FWCI
- 33.74
- Type
- journal article
- Language
- en
- Open access
- closed
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Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.
