EconPapers    
Economics at your fingertips  
 

The Bank Capital Debate: Should Fragility Be Reduced?

Philipp König () and David Pothier ()

No 17, DIW Roundup: Politik im Fokus from DIW Berlin, German Institute for Economic Research

Abstract: The recent financial crisis has exposed the fragility of the banking sector to sudden withdrawals of wholesale funding, asset price declines and market dry-ups. Governments and central banks had to step in to prevent major banks from defaulting. These events led to renewed interest in the question whether the fragility of banks should be tolerated as a necessary, even desirable feature of an efficient process of financial intermediation, or whether banks should be subject to stricter regulation ex ante. This Round-Up summarizes the key arguments on both sides of the debate.

Pages: 5 p.
Date: 2014
New Economics Papers: this item is included in nep-ban and nep-cba
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
https://www.diw.de/documents/publikationen/73/diw_ ... IW_Roundup_17_en.pdf (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:diw:diwrup:17en

Access Statistics for this paper

More papers in DIW Roundup: Politik im Fokus from DIW Berlin, German Institute for Economic Research Contact information at EDIRC.
Bibliographic data for series maintained by Bibliothek ().

 
Page updated 2022-04-19
Handle: RePEc:diw:diwrup:17en