EconPapers    
Economics at your fingertips  
 

Banks, Regions and Development After the Crisis and Under the New Regulatory System

Pietro Alessandrini (), Michele Fratianni (), Luca Papi () and Alberto Zazzaro ()

Credit and Capital Markets, 2016, vol. 49, issue 4, 535-561

Abstract: One of the most evident consequences of the Great Financial Crisis has been a rapid expansion of banking regulation. We argue that the burden of the new regulatory system is asymmetric, driving small banks to the “too-small-to-survive” zone, while reinforcing the “too-big-to-fail” protection for big banks. The asymmetric effect on banking structure produces related asymmetries on firms and regional economies, in light of the fact that small firms and peripheral regions are highly dependent on bank credit and need strategic proximity of banking structures. Finally, our review of the literature on different countries and on different periods of time, including the financial crisis years, suggests the importance of a differentiated banking model when firms and regions are heterogeneous. There is no obvious optimal size of bank.

Keywords: financial crisis; regulation; small banks; large banks; asymmetries; heterogeneity (search for similar items in EconPapers)
JEL-codes: G01 G18 G21 (search for similar items in EconPapers)
Date: 2016
References: Add references at CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Working Paper: Banks, regions and development after the crisis and under the new regulatory system (2016) Downloads
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:kuk:journl:v:49:y:2016:i:4:p:535-561

Access Statistics for this article

More articles in Credit and Capital Markets from Credit and Capital Markets
Bibliographic data for series maintained by Credit and Capital Markets ().

 
Page updated 2019-10-24
Handle: RePEc:kuk:journl:v:49:y:2016:i:4:p:535-561