RDP 1999-09: Australian Banking Risk: The Stock Market's Assessment and the Relationship Between Capital and Asset Volatility
Equation (9)
σ
E
=
(
1
−
γ
)
A
N
(
x
)
σ
A
T
+
θ
B
N
′
(
x
−
σ
A
T
)
+
γ
A
σ
A
T
E
T
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