Plausibly Exogenous - Bank Supervision (07/22/2021)
LHS Variable
Risk-taking
RHS Variable
Bank supervision
Source of Exogenous Variation
Exogenous decline in supervision sparked by the hasty relocation of the 9th district Federal Home Loan Bank (FHLB) from Little Rock, Arkansas to Dallas, Texas in 1983.
- Kandrac and Schlusche (2019), “The Effect of Bank Supervision and Examination on Risk Taking: Evidence from a Natural Experiment”