Banking on too much of a good thing?

Ronald Fischer

No 380003, Competition & Regulation Times from New Zealand Institute for the Study of Competition and Regulation

Abstract: One of the difficult questions facing regulators in the financial sector is how much banking competition to allow. In most industries, increased competition increases social welfare. But banking regulators see the banking industry as different. They believe that excessive competition may put the banking system at risk, a belief that underlies the recent restrictions on mortgage lending introduced by the New Zealand Reserve Bank. Ronald Fischer explores the connections between banking competition and economic stability.

Date: 2013-11-01
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Persistent link: https://EconPapers.repec.org/RePEc:vuw:vuwcrt:380003

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