Full-Text Search:
Home|Journal Papers|About CNKI|User Service|FAQ|Contact Us|中文
《Financial Economics Research》 2018-02
Add to Favorite Get Latest Update

Macroeconomic Fluctuations,Corporate Governance,and the Procyclicality of Banks' Risk Bearing Capacity

Jiang Hai;Liu Yachen;Department of Finance/Finance Institute,College of Economics,Jinan University;  
Using panel data from 16 listed banks in China from 2007 to 2015,this study adopted the generalized method of moments( GMM) to empirically examine the relationship between macroeconomic fluctuations and the internal governance and risk-bearing capacity of banks. The results showed that macroeconomic fluctuations were positively correlated with banks' risk bearing capacity. The risk-bearing behavior of the listed banks in China presented significant procyclicality. In addition,such cyclical characteristics appeared to be asymmetrical between upturns and downturns of the economy. The relationship between ownership concentration and risk bearing behavior manifested a U-shape pattern;there was a significant negative correlation between the size of the board of directors and banks' risk-bearing capacity. Executive compensation and risk bearing were found to have a significant positive correlation. The proportion of shareholdings of the largest shareholder,the size of the board of directors,and the compensation of the executives appeared to have a significant impact on the relationship between macroeconomic fluctuations and banks' likelihood to bear risk. Therefore,it is suggested that,in addition to strengthening the supervision of banks' countercyclical capital buffers,banks' internal governance policies should also be improved.
【Fund】: 国家自然科学基金项目(71473103);; 教育部人文社科基金项目(13YJA790038)
【CateGory Index】: F124.8;F271;F832.3
Download(CAJ format) Download(PDF format)
CAJViewer7.0 supports all the CNKI file formats; AdobeReader only supports the PDF format.
©2006 Tsinghua Tongfang Knowledge Network Technology Co., Ltd.(Beijing)(TTKN) All rights reserved