Subject |
Overview: Financial Crises, Past and Present
Banking using Asymmetric Information Debt contracts and credit rationing Short term funding of banks: Deposits, money market debt, and leverage Problems of deposit contracts: Bank runs Long term bank assets: Fire sale value Credit risk, adverse information and bank runs Sustainable loss and bank equity
Regulation of Banks Reserve requirements Deposit insurance Capital-adequacy requirements
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Study material |
Core reading:
Eichberger / Harper, Financial Economics, Oxford 1997, Part II
NBER working papers:
Eichengreen / Bordo, No 8716 Barro / Ursua, No 14760 Reinhart / Reinhart, No 16334
Journal of Economic Perspectives, vol 13/4,1999, pp 21 - 104, various authors on regulation of banks and financial markets
Basel Committee on Banking Supervision (Basel I, II, III) www.bis.org
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