Economic and Regulatory Capital in Banking: What is the Difference?∗ Abel Elizalde Rafael Repullo CEMFI and UPNA CEMFI and CEPR July 2006 Abstract We analyze the determinants of regulatory capital (the minimum required by regulation)‚ economic capital (that chosen by shareholders without regulation)‚ and actual capital (that chosen with regulation) in the single risk factor model of Basel II. We show that variables that only affect economic capital‚ such as the intermediation margin
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Introduction The current regulatory structure in Hong Kong 3. Hong Kong’s current approach to regulation can be characterized as institutional with functional aspects. This means that the firm’s legal status (bank‚ broker or insurance company) determines which regulator is responsible for supervising its activities from both a prudential and conduct of business perspective. However‚ this has been modified in Hong Kong to allow for the fact that banks are conducting a broader range of financial
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CHANGES IN INDIAN ECONOMY AFTER INDEPENDENCE INDIA’S ECONOMY HAS MADE great strides in the years since independence. In 1947 the country was poor and shattered by the violence and economic and physical disruption involved in the partition from Pakistan. The economy had stagnated since the late nineteenth century‚ and industrial development had been restrained to preserve the area as a market for British manufacturers. In fiscal year (FY--see Glossary) 1950‚ agriculture‚ forestry‚ and fishing accounted
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What is the future of Social Security? There is much-heated debate on the issues of Social Security today. The Social Security system is the largest government program of income distribution in the United States. People are concerned that they won’t see a dime of what they worked so hard to contribute into the Social Security system for so many years. Social Security provides benefits to about forty-three million Americans. Not only to retired workers‚ but also to their spouses and dependents
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the application of this paperless system taken so long? To put it in perspective‚ in sports there can be no game if there are no players to play and not just some participating‚ but all must in order for the game to be played. One of the biggest obstacles the continuous EMR implementation faces is what healthcare considers it’s largest assets‚ the physicians and doctors. Physicians need a motive‚ something they may benefit from if they were to adopt such an advance and elaborate method of patient
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1) Assess the role of political factors encouraging agricultural change. Political factors in many countries have a significant impact on agricultural change. The main political factor would be in the form of subsidies‚ reforms and policies. Many countries like the USA are granting large subsidies to their agricultural sector. The USA and other developed nations have a plan to produce more and export more. By doing this‚ the countries are establishing themselves in the international market
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artistically inclined individual may choose an occupation that requires‚ all things being equal‚ more creativity‚ such as hair dressing. Despite this‚ the government has a way of making it difficult for people to follow their passions. Occupational licensing laws are the way that government does this. These laws are government issued permits given once certain educational standards are met. Though‚ having the right to choose any occupation is not in the constitution‚ it is seen‚ however‚ as a substantive
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Co-occurring Disorders and Addiction SUBS500_ B02_201230 Treatment of drug and alcohol addiction is seldom as simple as merely addressing the particular chemicals addict is taking into his body. More often than not‚ addicts suffer from other disorders in conjunction with their chemical dependency. The clinical reference to such a condition is called co-occurring disorders (Doweiko‚ 2012). According to Arias and Kranzler (2008) an estimated 1.1 percent of the U.S. population has an alcohol
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Regulatory Paper By Jane McElveen Ms. Craine HCA/210 12/7/12 Cited page: American College of Emergency Agency. Website www. Acep.org The law of EMTALA (1986) is where a patient has to follow the rules of the program so that they can get the medical
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Technological change is an increase in the efficiency of a product of a product or process that result in an increase in output. Structural unemployment occurs when a firm is looking for a worker and an unemployed worker is looking for a job‚ but the particular characteristics the firm us looking for do not match up with the characteristics the worker offers. Technological change is one source of structural unemployment. First‚ the impact of technology on employment is that there will be massive
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