01816cas a2200277 a 4500 AALejournalIMF018081 230101c9999 xx r poo 0 0eng d 5.00 USD 9781484330104 1018-5941 BD-DhAAL BD-DhAAL Igan, Deniz. Winning Connections? : Special Interests and the Sale of Failed Banks / Deniz Igan, Thomas Lambert, Wolf Wagner, Quxian Zhang. Washington, D.C. : International Monetary Fund, 2017. 1 online resource (47 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students We study how lobbying affects the resolution of failed banks, using a sample of FDIC auctions between 2007 and 2014. We show that bidding banks that lobby regulators have a higher probability of winning an auction. In addition, the FDIC incurs higher costs in such auctions, amounting to 16.4 percent of the total resolution losses. We also find that lobbying winners have worse operating and stock market performance than their non-lobbying counterparts, suggesting that lobbying results in a less efficient allocation of failed banks. Our results provide new insights into the bank resolution process and the role of special interests. Mode of access: Internet Lambert, Thomas. Wagner, Wolf. Zhang, Quxian. IMF Working Papers; Working Paper ; No. 2017/262 Full text available on IMF http://elibrary.imf.org/view/journals/001/2017/262/001.2017.issue-262-en.xml IMF e-Library