Working Paper
Anticipating bailouts: the incentive-conflict model and the collapse of the Ohio Deposit Guarantee Fund
Abstract: An examination of the effect of the collapse of the Ohio Deposit Guarantee Fund on insured financial institutions in the context of the incentive-conflict model developed by Edward Kane, finding that differences in abnormal returns of FDIC and FSLIC firms tend to reaffirm that taxpayer-funded bailouts are a natural outgrowth of the moral-hazard problem that taxpayers face.
Access Documents
File(s):
File format is application/pdf
https://fraser.stlouisfed.org/title/working-paper-federal-reserve-bank-cleveland-4494/anticipating-bailouts-494607
Description: Full text
Authors
Bibliographic Information
Provider: Federal Reserve Bank of Cleveland
Part of Series: Working Papers (Old Series)
Publication Date: 1994
Number: 9407