Watch What They Do, Not What They Say : Estimating Regulatory Costs from Revealed Preferences /

We show that distortion in the size distribution of banks around regulatory thresholds can be used to identify costs of bank regulation. We build a structural model in which banks can strategically bunch their assets below regulatory thresholds to avoid regulations. The resulting distortion in the s...

Full description

Bibliographic Details
Main Author: Alvero, Adrien
Other Authors: Ando, Sakai, Xiao, Kairong
Format: Journal
Language:English
Published: Washington, D.C. : International Monetary Fund, 2022.
Series:IMF Working Papers; Working Paper ; No. 2022/041
Subjects:
Online Access:Full text available on IMF