Identifying banking crises is the first step in the research on determinants of banking crises. The prevailing practice is to employ market events to identify a banking crisis. Researchers justify the usage of this method on the grounds that either direct and reliable indicators of banks’ assets quality are not available, or that withdrawals of bank deposits are no longer a part of financial cr...

The ultimate goal of macroprudential policy is to prevent and reduce the costs systemic financial crises, thus contribute promoting sustainable economic growth. However, despite active role played by such policies in recent decades, there still limited empirical evidence regarding whether prudential regulation effective enhance stability preventing mitigating crisis risk. This paper seeks close...