Disclosure, Ambiguity and Depositors' Discipline in European Banking System
27 Pages Posted: 21 Oct 2016 Last revised: 20 Dec 2017
Date Written: 2017
We investigate the impact of banks disclosure on their ability to attract more deposit in Europe for the period 1989-2013. The bank disclosure provides tools to help depositors to exert there governance onto banks manager to align managers incentives with the one of depositors.
We introduced as well the notion of ambiguity. Disclosure has a negative impact on total deposit while ambiguity appears to reduce significantly the level of deposits.
Keywords: Bank, Deposit, Disclosure, Ambiguity
JEL Classification: G14, G21
Suggested Citation: Suggested Citation