Restructuring the Financial System: A Synthetic Presentation of an Alternative Approach to Financial Regulation

Mario Tonveronachi () and Elisabetta Montanaro ()
Additional contact information
Mario Tonveronachi: University of Siena
Elisabetta Montanaro: University of Siena

Ensayos Económicos, 2010, vol. 1, issue 57-58, 127-143

Abstract: The existing regulation and the changes that are currently proposed by the public authorities do not cope, in our opinion, with the endogenous fragilities created by the evolution of the financial systems in the last decades. Our proposal is intended to re-focus the system towards a sustainable funding of the economy, to limit the size of both the entire financial system and intermediaries, to re-establish a genuine market discipline based on the ‘freedom’ to go bankrupt, to reduce national and international interconnections among financial operators, to avoid regulatory arbitrages, and to increase the margins for regulators to tailor the rules to their national specificities. Crucial for our proposal is the distinction between leveraged and non-leveraged financial institutions and the introduction of structural regulatory measures.

Keywords: financial markets; financial institutions; financial regulation (search for similar items in EconPapers)
JEL-codes: G18 G20 G28 (search for similar items in EconPapers)
Date: 2010
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.bcra.gov.ar/pdfs/investigaciones/57-58_Tonveronachi.pdf Spanish version (versión en Español) (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bcr:ensayo:v:1:y:2010:i:57-58:p:127-143

Access Statistics for this article

Ensayos Económicos is currently edited by Germán Feldman

More articles in Ensayos Económicos from Central Bank of Argentina, Economic Research Department Contact information at EDIRC.
Bibliographic data for series maintained by Federico Grillo ().