Open Access. Powered by Scholars. Published by Universities.®
Articles 1 - 3 of 3
Full-Text Articles in Business
Analysis Of Bank Performance In California And The Rest Of The Twelfth Federal Reserve District, Stoyu I. Ivanov
Analysis Of Bank Performance In California And The Rest Of The Twelfth Federal Reserve District, Stoyu I. Ivanov
Mountain Plains Journal of Business and Technology
"In this study I examine the performance and sensitivity of performance to macro factors of banks headquartered in California and banks headquartered in the rest of the states in the Twelfth Federal Reserve District. I find that prior to the financial crisis which started in the fourth quarter of 2007 the non-California banks outperformed California banks; however, towards the end of the financial crisis California banks outperformed non-California banks. I also find higher macro factor sensitivities of nonCalifornia banks indicating more macro risk carried by these institutions. The higher risk explains the superior performance in expansions and underperformance in recessions …
The Financial Crisis: Irrational Exuberance Or Institutional Rationality?, Samuel E. Enajero
The Financial Crisis: Irrational Exuberance Or Institutional Rationality?, Samuel E. Enajero
Mountain Plains Journal of Business and Technology
"The last financial crisis could have been caused by rational and irrational exuberance. (That is, overreaction by agents to both good and poor signals in the financial markets). The problem is further exacerbated by institutional rationality. Rule following is one mode of behavior in dual-mode institutional rationality (Redmond 2004; Verstegen 2006). Rule-following behaviors hamper agents’ abilities to adapt to new circumstances. It is shown that management structures where both upper-level and field managers exhibit purpose-seeking behaviors is necessary for corporations to overcome any type of economic and financial volatility. "
A Microsoft Excel® Template For Teaching About Bank Runs Or Running Bank Run Experiments, Laureano Gomez, Hilde Patron, William J. Smith
A Microsoft Excel® Template For Teaching About Bank Runs Or Running Bank Run Experiments, Laureano Gomez, Hilde Patron, William J. Smith
Mountain Plains Journal of Business and Technology
"In this paper we describe a Microsoft Excel® template useful for instructors wishing to show students the incentives faced by bank depositors who suspect that their bank is in danger of becoming illiquid or insolvent, or wishing to play the run-on-the bank game in class. The template is very flexible allowing for anywhere between two to ten bank customers, variable rates of return on bank investments, and lending rates. The template allows instructors to simulate traditional as well as silent bank runs, both of which are especially relevant to today‟s students in view of the recent financial crisis."