论文信息 - Competitive Effects of Basel II on U . S . Bank Credit Card Lending

Competitive Effects of Basel II on U . S . Bank Credit Card Lending

We analyze the potential competitive effects of the proposed Basel II capital regulations on U.S. bank credit card lending. We find that Basel II is not likely to have a competitive effect on community banks and most regional banks. Bank issuers that operate under Basel II will face higher regulatory capital minimums than Basel I banks. During periods of normal economic conditions, this is not likely to have a competitive effect; however, during periods of substantial stress in credit card portfolios, Basel II banks could face a significant competitive disadvantage relative to Basel I banks and nonbank issuers. JEL classification: G210, G280, D430

William W. Lang | Loretta J. Mester | Todd A. Vermilyea | W. Lang

[1] William W. Lang,et al. Competitive Effects of Basel II on U.S. Bank Credit Card Lending , 2007 .

[2] F. Natalucci,et al. Profits and balance sheet developments at U.S. commercial banks in 2004 , 2005 .

[3] Jack Milligan,et al. Who Will Choose Basel II? All Large Banks-Except the Very Biggest, Who Have No Choice-Are Thinking Hard about Opting in, Even before the U.S. Regulators Develop Detailed Rules , 2004 .

[4] M. Flannery,et al. Partial Adjustment Toward Target Capital Structures , 2004 .

[5] Andrew Davidson,et al. Securitization: Structuring and Investment Analysis , 2003 .

[6] J. Mason,et al. What is the Value of Recourse to Asset Backed Securities? A Clinical Study of Credit Card Banks , 2003 .

[7] Charles W. Calomiris,et al. Credit Card Securitization and Regulatory Arbitrage , 2003 .

[8] Mark J. Furletti. An Overview of Credit Card Asset-Backed Securities , 2002 .

[9] M. Carlson,et al. Profits and balance sheet developments at U.S. commercial banks in 2001 , 2000 .

[10] Rafael Rob,et al. The Impact of Capital-Based Regulation on Bank Risk-Taking☆ , 1999 .

[11] Douglas W. Diamond,et al. A Theory of Bank Capital , 1999 .

[12] J. MacKinnon,et al. Estimation and inference in econometrics , 1994 .

[13] Eric S. Rosengren,et al. The potential impact of explicit Basel II operational risk capital charges on the competitive environment of processing banks in the United States , 2005 .