Measuring Business Sector Concentration by an Infection Model
In: Bundesbank Series 2 Discussion Paper No. 2006,03
14 Ergebnisse
Sortierung:
In: Bundesbank Series 2 Discussion Paper No. 2006,03
SSRN
In: Bundesbank Discussion Paper No. 22/2013
SSRN
In: Bundesbank Series 2 Discussion Paper No. 2011,08
SSRN
In: Bundesbank Series 2 Discussion Paper No. 2009,02
SSRN
In: Bundesbank Series 2 Discussion Paper No. 2006,09
SSRN
In: Bundesbank Discussion Paper No. 04/2012
SSRN
In: Bundesbank Series 2 Discussion Paper No. 2004,02
SSRN
In: Journal of economic dynamics & control, Band 34, Heft 11, S. 2341-2357
ISSN: 0165-1889
In: Bundesbank Series 2 Discussion Paper No. 2010,10
SSRN
In: Bundesbank Series 2 Discussion Paper No. 2007,13
SSRN
In: Bundesbank Series 2 Discussion Paper No. 2008,04
SSRN
Several studies have addressed, with conflicting results, the issue of procyclical effects of loan loss provisions in the past. More recently, the weak performance of incurred loss models in the financial crisis has given rise to a new debate on the sound design of credit risk provisioning schemes, which is reflected in the scheduled implementation of an expected loss model in IFRS 9. This study contributes to the extant literature by separately analyzing the cyclical effects of specific and general loan loss provisions under a legislative framework that allows provisions based on expected losses in the loan portfolio. Using three different measures of forward-looking provisioning, we find typical German banks, most of them unlisted and operating regionally, to use specific loan loss provisions countercyclically, in particular for earnings management and by anticipating non-performing loans at the closing date. The use of general loan loss provisions is predominantly motivated by tax considerations, pointing out the considerable importance of the impact of local tax law.
BASE
In: Bundesbank Discussion Paper No. 39/2014
SSRN
In: Bundesbank Discussion Paper No. 45/2016
SSRN