RESEARCH - Regulatory and 'economic' solvency standards for internationally active banks by Patricia Jackson, William Perraudin and Victoria Saporta, Bank of England. In this paper, light is shed on the solvency standards implied by current and possible future G10 bank regulation, and on the economic solvency standard that banks choose themselves by their own capital-setting decisions. In particular, a credit risk model is employed to show that the survival probability implied by the 1988 Basel