Download or read book Does Deposit Insurance Increase Banking System Stability written by Asl? Demirgüç-Kunt and published by World Bank Publications. This book was released on 1999 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt: "Explicit deposit insurance tends to be detrimental to bank stability-- the more so where bank interest rates are deregulated and the institutional environment is weak"--Cover.
Download or read book Does Deposit Insurance Increase Banking System Stability An Empirical Investigation written by Asli Demirgüç-Kunt and published by . This book was released on 2016 with total page 37 pages. Available in PDF, EPUB and Kindle. Book excerpt: Explicit deposit insurance tends to be detrimental to bank stability - the more so where bank interest rates are deregulated and the institutional environment is weak.Based on evidence for 61 countries in 1980-97, Demirguc-Kunt and Detragiache find that explicit deposit insurance tends to be detrimental to bank stability, the more so where bank interest rates are deregulated and the institutional environment is weak.The adverse impact of deposit insurance on bank stability tends to be stronger the more extensive is the coverage offered to depositors, and where the scheme is funded and run by the government rather than the private sector.This paper - a product of Finance, Development Research Group - is part of a larger effort in the group to study deposit insurance. The study was funded by the Bank's Research Support Budget under the research project Deposit Insurance: Issues of Principle, Design, and Implementation (RPO 682-90). The authors may be contacted at [email protected] or [email protected].
Download or read book Does Deposit Insurance Increase Banking System Stability written by Ms.Enrica Detragiache and published by INTERNATIONAL MONETARY FUND. This book was released on 2000-01-01 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study analyzes panel data for 61 countries during 1980–97 and concludes that explicit deposit insurance tends to be detrimental to bank stability, the more so where bank interest rates are deregulated and the institutional environment is weak. Also, the adverse impact of deposit insurance on bank stability tends to be stronger when the coverage offered to depositors is extensive, when the scheme is funded, and when it is run by the government rather than by the private sector.
Download or read book Does Deposit Insurance Increase Banking System Stability written by Aslı Demirgüç-Kunt and published by . This book was released on 2000-01-01 with total page 29 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study analyzes panel data for 61 countries during 1980–97 and concludes that explicit deposit insurance tends to be detrimental to bank stability, the more so where bank interest rates are deregulated and the institutional environment is weak. Also, the adverse impact of deposit insurance on bank stability tends to be stronger when the coverage offered to depositors is extensive, when the scheme is funded, and when it is run by the government rather than by the private sector.
Download or read book Does Deposit Insurance Increase Banking System Stability written by International Monetary Fund and published by . This book was released on 2000 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Deposit Insurance Around the Globe written by Asl? Demirgüç-Kunt and published by World Bank Publications. This book was released on 2001 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt: Explicit deposit insurance has been spreading rapidly in recent years, even to countries with low levels of financial and institutional development. Economic theory indicates that deposit-insurance design features interact--for good or ill--with country-specific elements of the financial and governmental contracting environment. This paper documents the extent of cross-country differences in deposit-insurance design and reviews empirical evidence on how particular design features affect private market discipline, banking stability, financial development, and the effectiveness of crisis resolution. This evidence challenges the wisdom of encouraging countries to adopt explicit deposit insurance without first stopping to assess and remedy weaknesses in their informational and supervisory environments.
Download or read book Deposit Insurance written by Richard L. Fogel and published by DIANE Publishing. This book was released on 1998-04 with total page 197 pages. Available in PDF, EPUB and Kindle. Book excerpt: Deposit insurance was initiated in the 1930s to help restore confidence in the banking system after thousands of banks failed and millions of dollars in deposits were lost during the Great Depression. In 1990, the federal government insured about $3 trillion in deposits in the nation1s banks, thrifts, and credit unions and has to date fulfilled its goal of maintaining the stability of the banking system. This report discusses issues associated with reforming the deposit insurance system, specifically changes to the system that will promote a safe, sound, and stable banking industry. Charts and tables.
Download or read book Does Deposit Insurance Increase Moral Hazard in Banks The Case of the Australian Financial Claims Scheme written by Giusy Chesini and published by . This book was released on 2014 with total page 22 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this paper we analyze the relation between deposit insurance, bank risk and bank stability.Although there is a voluminous literature on the impact of deposit insurance on bank stability and bank risk, the consequences of deposit insurance remain controversial. In particular, deposit insurance is widely offered in a ever growing number of countries as part of a financial safety net to promote stability even if there is a wide empirical evidence relating to the failure of deposit insurance in maintaining banking stability because of the well known moral hazard problem.In order to study these relations we chose the particular case of the Australian "Financial Claims Scheme", because Australia was one of the few developed countries that did not have explicit deposit insurance facilities in place. With the growing uncertainty surrounding the health of the global financial markets in 2008, the Government decided to introduce protection for deposits and wholesale funding. So, deposit insurance measures were introduced not because of a serious threat to domestic stability of the banking system but mainly as a precautionary action to face deteriorating conditions in overseas financial markets.By using a probit regression model we found that in Australia the introduction of a deposit insurance scheme produced a decrease in the bank risk, that is banks are less risky than the period before. Results also demonstrate that the introduction of the scheme produced an increase in the bank stability and generalizing an increase in the stability of the Australian banking system as well.
Download or read book Deposit Insurance in a Changing Environment written by Federal Deposit Insurance Corporation and published by . This book was released on 1983 with total page 246 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Deposit Insurance and Financial Development written by Robert J. Cull and published by World Bank Publications. This book was released on 2001 with total page 66 pages. Available in PDF, EPUB and Kindle. Book excerpt: Do deposit insurance programs contribute to financial developmen? Yes, but only if the regulatory environment is sound.
Download or read book The Impact of Increased Insurance on Public Deposits written by United States. Advisory Commission on Intergovernmental Relations and published by . This book was released on 1977 with total page 550 pages. Available in PDF, EPUB and Kindle. Book excerpt: Printed for the use of the Committee on Banking, Housing, and Urban Affairs, United States Senate.
Download or read book A Briefing Paper on Deposit Insurance written by and published by . This book was released on 1990 with total page 104 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Deposit Insurance Around the World written by Aslı Demirgüç-Kunt and published by MIT Press. This book was released on 2008 with total page 415 pages. Available in PDF, EPUB and Kindle. Book excerpt: Explicit deposit insurance (DI) is widely held to be a crucial element of modern financial safety nets. This book draws on an original cross-country dataset on DI systems and design features to examine the impact of DI on banking behavior and assess the policy complications that emerge in developing countries.
Download or read book Deposit Insurance written by Rita Carisano and published by Dartmouth Publishing Company. This book was released on 1992 with total page 232 pages. Available in PDF, EPUB and Kindle. Book excerpt: The salience of deposit insurance has increased enormously in recent years as a result of the thrifts crisis in the USA and its proposed introduction to the European Community.
Download or read book How Does Deposit Insurance Affect Bank Risk Evidence from the Recent Crisis written by Deniz Anginer and published by . This book was released on 2017 with total page 29 pages. Available in PDF, EPUB and Kindle. Book excerpt: Deposit insurance is widely offered in a number of countries as part of a financial system safety net to promote stability. An unintended consequence of deposit insurance is the reduction in the incentive of depositors to monitor banks, which leads to excessive risk-taking. This paper examines the relation between deposit insurance and bank risk and systemic fragility in the years leading to and during the recent financial crisis. It finds that generous financial safety nets increase bank risk and systemic fragility in the years leading up to the global financial crisis. However, during the crisis, bank risk is lower and systemic stability is greater in countries with deposit insurance coverage. The findings suggest that the "moral hazard effect" of deposit insurance dominates in good times while the "stabilization effect" of deposit insurance dominates in turbulent times. Nevertheless, the overall effect of deposit insurance over the full sample remains negative since the destabilizing effect during normal times is greater in magnitude compared with the stabilizing effect during global turbulence. In addition, the analysis finds that good bank supervision can alleviate the unintended consequences of deposit insurance on bank systemic risk during good times, suggesting that fostering the appropriate incentive framework is very important for ensuring systemic stability.
Download or read book How Does Deposit Insurance Affect Bank Risk written by Deniz Anginer and published by . This book was released on 2012 with total page 29 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Deposit Insurance Reform and Related Supervisory Issues written by United States. Congress. Senate. Committee on Banking, Housing, and Urban Affairs and published by . This book was released on 1986 with total page 436 pages. Available in PDF, EPUB and Kindle. Book excerpt:
