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Macroeconomic conditions and bank risk-taking in Australia
thesisposted on 2022-03-29, 03:10 authored by Minh Dang Bui
The aim of this study is to investigate the relationship between bank risk taking and the macro-economic environment in Australia, at institution level, from July 2002 till December 2015. There are strong arguments in economic theory suggesting that macroeconomic conditions may have significant impacts on the risk-taking behavior among banks. This thesis uses about 8100 monthly observations of Australia banks from July 2004 to December 2015 to study the empirical relationship between the macro environment and bank risk-taking behavior. The results of this study find relationships between general macro indicators and bank risk taking behavior are varying with different types of bank, time frame and with different proxy for bank risk taking. Interest rates and in particular the prolonged low interest rate environment does encourage bank increase the portion of risky assets to total assets through housing market loans. This makes banks more reliant on lending for housing and hence more risky propositions.
Table of ContentsChapter 1. Introduction and motivation -- Chapter 2. Bank risk–taking and macroeconomic conditions : theory -- Chapter 3. Bank risk–taking and macroeconomic conditions : theoretical and empirical evidence -- Chapter 4. Bank risk–taking and macroeconomic conditions : Australian case -- Chapter 5. Reflection on findings and policy implications -- Data appendix -- References.
NotesTheoretical thesis. Bibliography: pages  - 
Awarding InstitutionMacquarie University
Degree TypeThesis MRes
DegreeMRes, Macquarie University, Faculty of Business and Economics, Department of Economics
Department, Centre or SchoolDepartment of Economics
Year of Award2016
Principal SupervisorTony Bryant
Additional Supervisor 1Ben Wang
RightsCopyright Minh Dang Bui 2016. Copyright disclaimer: http://mq.edu.au/library/copyright
Extent1 online resource ( pages) graphs, tables
Former Identifiersmq:69680 http://hdl.handle.net/1959.14/1256675