Scholarly work in the past decade has taken it for granted that banks deemed too big to fail are valued more highly than they would otherwise be, because the presumed safety net beneath them is itself factored by efficient capital markets into their price. This has raised a number of policy questions.
URL
http://www.allaboutalpha.com/blog/2018/07/22/a-counterintuitive-result-on-bank-size-and-too-big-to-fail/
Publish Date
Publisher
All About Alpha
Newsroom Placement
Article Type
Article Image