Università Cattolica del Sacro Cuore

Banking and Finance

Several members of the Department of Economics and Finance do research on a variety of applied topics in Banking and Finance.

Several contributions are in the area of Banking. Among them, the more recent research activity has focused on the role of banks in amplifying the business cycle, due to the pro-cyclicality of their leverage. The regulation and supervision of the banking sector has been addressed, with particular attention to the European Banking Union. The interplay between the sovereign and bank risks in the euro area has been analyzed, to measure the systemic risk in this area. A specific issue is that related to the functioning on the payment system and its link with the money market.

Other research topics are in the area of Corporate Finance. Among them, there is the role of managers’ compensation in corporate governance, focusing on the distortions introduced by incentive schemes. Other contributions have analyzed the funding conditions of small-medium size firms (SMEs).

Finally, monetary policy has been addressed, with particular attention to its interplay with fiscal policy and to the institutional features of the euro area.

Among the research contributions of Department’s members in this area are:

  • Baglioni, A., and F. Cefala. 2021. “Banks sovereign exposures: in search of new rules”, Journal of Financial Regulation: 7 (1).
  • Botta, M., and L. Colombo. 2019. “Seasoned Equity Offering Announcements and the Returns of European Bank Stocks and Bonds”, Applied Economics, 51 (13): 1339-1359.
  • Barbetta, G.P., F. Maier, and F. Godina. 2018. “Paradoxes of Social Impact Bonds”, Social Policy & Administrations, 52 (7): 1332–1353.
  • Nielsen, C., and G. Weinrich. 2018. “Bank Regulation when both Deposit Rate Control and Capital Requirements are Socially Costly”, International Journal of Economic Theory, 14: 139-178.
  • Baglioni, A., and U. Cherubini. 2016. “Eurobonds: a quantitative approach”, Review of Law and Economics, 12 (3): 507-521.
  • Barbetta, G.P., L. Colombo, S. Colombo, and M. Grillo. 2016. “Intra-Competitiveness and Inter-Competitiveness among Mutual Banks: the case of Trento”, International Review of Economics, 63 (3): 195-214.
  • Boitani, A., E. Beccalli, and S. Di Giuliantonio. 2015. “Leverage pro-cyclicality and securitization in US banking”, Journal of Financial Intermediation, 24 (2): 200-230.
  • Nielsen, C. 2015. “The Loan Contract with Costly State Verification and Subjective Beliefs”, Mathematical Social Sciences, 78: 89-105.
  • Tedeschi, P., and F. Barigozzi. 2015. “Credit Markets with Ethical Banks and Motivated Borrowers”, Review of Finance, 19 (3): 1281-1313.
  • Baglioni, A. 2014. “Leveraged buybacks of sovereign debt. A model and an application to Greece, Contemporary”, Economic Policy, 1 (33): 87-103.
  • Colombo, L., and G. Turati. 2014. “Why Do Acquiring Banks in Mergers Concentrate in Well Developed Areas? Regional Development and M&As in Banking”, Regional Studies, 48(2): 363-381.
  • Baglioni, A., and U. Cherubini, 2013, "Within and between systemic country risk. Theory and evidence from the sovereign crisis in Europe", Journal of Economic Dynamics and Control, vol.37.
  • Baglioni, A., and U. Cherubini. 2013. "Marking-to-market Government guarantees to financial systems. Theory and evidence for Europe", Journal of International Money and Finance, vol.32.
  • Baglioni, A., and L. Colombo. 2013. "The efficiency view of corporate boards: theory and evidence", Applied Economics, vol.45.