An Empirical Research On The Impact Of Capital Adequacy Ratio Regulation On The Risk-taking Of City Commercial Bank In China

After the Basel Committee promulgated the Basel accords, the academic researchers have always kept the persistent enthusiasm on the regulation of bank Capital adequacy ratios. The implementation of the Basel Accord Ⅲ in 2010 has put forward higher requirements on adequacy ratio level of bank capital. China has also issued the Administrative Measures for the Capital of Commercial Banks(for Trial Implementation). Under the new capital supervision system, it has certain theoretical value and practical significance to explore the influence of regulating capital adequacy on risk-taking of city commercial bank of China.At first, the thesis reviews the relevant literature domestic and abroad about influence of regulating capital adequacy on risk-taking of commercial bank and finds that there is no consensus about this issue.Then it summarizes the current situation of capital and risk-taking of our city commercial bank and analyzes the reasons and historical development of capital adequacy ratio theoretically. It emphasizes the influence of regulating capital adequacy on risk-taking of city commercial bank of China, hence, puts forward the hypothesis that capital adequacy regulating will inhibit the risk-taking of commercial bank. Furthermore, 182 samples of 26 city commercial Banks from the year of 2007 to 2013 are put into experimental research, whose results verified the previous theoretical assumptions that capital adequacy regulating can reduce the risk level of city commercial banks. The result also shows that asset scale, asset quality, capital structure and macro-economic fluctuation have obvious influence on the risk-taking of city commercial bank. In addition, the thesis contrasts and analyzes the similarities and differences of risk-taking influence by capital adequacy regulating of city commercial bank and large domestic commercial bank.Finally it explains the empirical results one by one, and gives several suggestions on policy to the city commercial banks and financial supervision administration according to the conclusion.