Front Matter Page
European Department
Authorized for distribution by Luc D. Everaert
Contents
I. Introduction
II. Motivation
A. Early Warning Systems for Banking Soundness
B. Examples of Uses of the Early Warning Systems
III. Methodology and Data
A. Estimation Methodology
B. Data
IV. Estimation Results
A. Baseline Estimate
B. Robustness Checks
C. Prediction Results
D. Marginal Effects
V. Conclusion
References
Tables
1. Database Overview
2. Determinants of Bank Distress
3. Logit Estimation Results
4. Type I and Type II Errors
Figures
1. Overview of Distress Events by Year and by Country, 1995–2007
2. Banks at Risk
3. Assets at Risk
4. Marginal Effects of Significant CAMEL Covariates
5. Trade-off in the Impact on PD between Pairs of Significant CAMEL Covariates
Appendices
I. Early Warning Systems for Banking Supervision: Survey
II. European Banking System
III. European Structured Early Intervention and Resolution