OxTalks will soon move to the new Halo platform and will become 'Oxford Events.' There will be a need for an OxTalks freeze. This was previously planned for Friday 14th November – a new date will be shared as soon as it is available (full details will be available on the Staff Gateway).
In the meantime, the OxTalks site will remain active and events will continue to be published.
If staff have any questions about the Oxford Events launch, please contact halo@digital.ox.ac.uk
Standard analyses of optimal bank capital requirements used by policy makers effectively assume risk neutrality despite risk aversion being fundamental to the problem that they address. Moreover, by reducing the probability and severity of financial crises, greater bank capital affects stochastic discount factors and hence investment incentives. We show in a simple model how this effect is typically positive because investment incentives are usually stronger when crisis risk is reduced.
