Risk Transmission of Commercial Banks under Economic Policy Uncertainty and its Dynamic Characteristics

Based on the quarterly data of China's listed commercial banks from 2007 to 2019, this paper conducts empirical research on the risk transmission channels of the banking industry under economic policy uncertainty. The results found that economic policy uncertainty has a fast transmission to the risk of the banking system, it is difficult for banks to adjust their credit and leverage structure in a short period of time. As a result, the risk of...