Download or read book Externalities and Bailouts written by David E. Wildasin and published by World Bank Publications. This book was released on 1997 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Externalities and Bailouts written by D. E. Wildasin and published by . This book was released on 1997 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Bailouts written by Robert Eric Wright and published by Columbia University Press. This book was released on 2010 with total page 161 pages. Available in PDF, EPUB and Kindle. Book excerpt: Today's financial crisis is the result of dismal failures on the part of regulators, market analysts, and corporate executives. Yet the response of the American government has been to bail out the very institutions and individuals that have wrought such havoc upon the nation. Are such massive bailouts really called for? Can they succeed? Robert E. Wright and his colleagues provide an unbiased history of government bailouts and a frank assessment of their effectiveness. Their book recounts colonial America's struggle to rectify the first dangerous real estate bubble and the British government's counterproductive response. It explains how Alexander Hamilton allowed central banks and other lenders to bail out distressed but sound businesses without rewarding or encouraging the risky ones. And it shows how, in the second half of the twentieth century, governments began to bail out distressed companies, industries, and even entire economies in ways that subsidized risk takers while failing to reinvigorate the economy. By peering into the historical uses of public money to save private profit, this volume suggests better ways to control risk in the future. Additional Columbia / SSRC books on the privatization of risk and its implications for Americans: Health at Risk: America's Ailing Health System--and How to Heal ItEdited by Jacob S. Hacker Laid Off, Laid Low: Political and Economic Consequences of Employment InsecurityEdited by Katherine S. Newman Pensions, Social Security, and the Privatization of RiskEdited by Mitchell A. Orenstein
Download or read book Externalities and Bailouts Hard and Soft Budget Constraints in Intergovernmental Fiscal Relations written by E. David Wildasin and published by . This book was released on 1999 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: November 1997 A local government's ability to extract a bailout from a central government depends on how big it is. Larger localities may rationally expect bailouts-and thus operate under softer budget constraints. Effective fiscal decentralization requires an institutional structure that minimizes these adverse incentives. Subnational governments are assuming greater fiscal responsibility in many developing and transition countries. There is concern, however, that fiscal decentralization may weaken fiscal discipline-that local authorities may undertake commitments or incur debt obligations that subsequently result in massive central government support, in the form of extraordinary transfers, or bailouts. (Recent experience in major U.S. cities shows that these problems are not restricted to developing countries.) Such bailouts could in turn cause national fiscal imbalances, excessive borrowing, and macroeconomic instability. Some analysts recommend that central authorities maintain strict control over the fiscal behavior of lower-level governments, but others argue that such controls could undercut the goals of fiscal decentralization, including autonomy. Wildasin shows that central authorities may have strong incentives to prop up the finances of local governments when the public services provided locally benefit the rest of society. The prospect of such interventions may in turn create incentives for localities to underprovide services that produce substantial spillover benefits, using local resources instead for purposes that may benefit local constituencies but not nonresidents. When central fiscal interventions are big enough, and when a loss of local control over the use of fiscal resources is not too costly to local residents, local decisionmakers will act to induce central government bailouts, resulting in inefficient outcomes for the system as a whole. This is not to say that fiscal decentralization produces perverse incentives or requires central government control over local fiscal policies. But incentives for bailouts can be especially strong when local governments are considered too big to fail-for example, New York, Philadelphia, and Washington, DC (in the United States) and São Paulo and Rio de Janeiro (in Brazil). In such cases, the repercussions from major breakdowns in the provision of services-or in debt servicing-can be too costly for central governments to ignore. Problems of fiscal discipline may result not because there is too much fiscal decentralization, says Wildasin, but because there is too little. It may make sense to carry out more thorough decentralization-for example, devolving fiscal authorities to smaller jurisdictions or special-purpose functional units, or subdividing large subnational jurisdictions into many smaller units. This paper-a product of the Development Research Group-is part of a larger effort in the group to understand fiscal decentralization.
Download or read book How to Regulate written by Thomas A. Lambert and published by Cambridge University Press. This book was released on 2017-08-18 with total page 279 pages. Available in PDF, EPUB and Kindle. Book excerpt: Markets sometimes fail. But so do regulatory efforts to correct market failures. Sometimes regulations reach too far, condemning good activities as well as bad, and sometimes they don't reach far enough, allowing bad behavior to persist. In this highly instructive book, Thomas A. Lambert explains the pitfalls of both extremes while offering readers a manual of effective regulation, showing how the best regulation maximizes social welfare and minimizes social costs. Working like a physician, Lambert demonstrates how regulators should diagnose the underlying disease and identify its symptoms, potential remedies for it, and their side effects before selecting the regulation that offers the greatest net benefit. This book should be read by policymakers, students, and anyone else interested in understanding how the best regulations are crafted and why they work.
Download or read book Local Public Finance written by René Geissler and published by Springer Nature. This book was released on 2021-04-20 with total page 354 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book is based upon a comparative public administration research project, initiated by the Hertie School of Governance (Germany) and the Bertelsmann Foundation (Germany) and supported by a network of researchers from many EU countries. It analyzes both the regimes and the practices of local fiscal regulation in 21 European countries. The book brings together key findings of this research project. The regulatory discussion is not limited to the prominent issue of fiscal rules but focuses on every component of regulation. Beyond this, the book covers affiliated topics such as the impact of regulation for local governments, evolution of regulation, administrative costs and crisis prevention. The various book chapters throughout provide a broad picture of local public finance regulation in theory and in practice, using different theoretical and national lenses for the analysis. Furthermore, the authors investigate the effects of budgetary constraints and higher-level regulatory efforts on local governments and on democracy and public services in every European country. This book fills a gap with respect to the lack of discussion on local government finance from an international, comparative perspective and, in particular, the regulation of local public finance. With its mix of authors, this book will be useful for practitioners as well as for scholars and for theory-driven research.
Download or read book The Practice of Fiscal Federalism written by Anwar Shah and published by McGill-Queen's Press - MQUP. This book was released on 2007 with total page 451 pages. Available in PDF, EPUB and Kindle. Book excerpt: Contributors provide a fascinating account of how federal countries are confronting the traditional challenges of conflicts over division of fiscal powers while also coping with emerging challenges of globalization and citizen empowerment arising from the information revolution. They analyze how relationships and roles in different orders of government are being reshaped and show how local solutions inspired by global principles help strengthen government accountability and improve the quality of life for citizens.
Download or read book Bail ins and Bank Resolution in Europe written by Thomas Philippon and published by Geneva Reports on the World Ec. This book was released on 2017 with total page 55 pages. Available in PDF, EPUB and Kindle. Book excerpt: The 4th Special Report in the Geneva Reports on the World Economy series reviews the current status of bail-ins and bank resolution in Europe. It first provides a critical comparison of the US and EU bank resolution rules, including the underlying similarities, differences and enhancement points of both frameworks. It then goes on to focus on European banking failures, providing estimates of taxpayer costs and considering the hypothetical application of stronger private sector bail-in consistent with the spirit of the Bank Resolution and Recovery Directive. The report ends with a number of policy recommendations concerning governance, stress testing, cross-border issues and resolution of financial contracts.
Download or read book Fiscal Federalism in Unitary States written by Per Molander and published by Springer Science & Business Media. This book was released on 2012-12-06 with total page 189 pages. Available in PDF, EPUB and Kindle. Book excerpt: Decentralism of political power to regions and local government occurs worldwide in response to demands from the periphery. Such devolution of power raises a number of problems - political, financial, and legal. By gathering together important papers from a series of workshops sponsored by the SNS Constitutional Project and the Center for European Integration Studies, this volume presents a number of these problems from a truly interdisciplinary perspective. The authors believe that fiscal federalism, while originating in formally federal states, is relevant also to the analysis of state-local relationships in unitary states with some degree of regional or local authority. Among the topics they cover are the division of responsibilities and powers of taxation, bailouts, systems of equalization, and state grants, as well as problems related to democracy and citizens' rights. While the book's primary focus is Nordic, its international perspective is enhanced by contributions from Europe, Canada, and the U.S.
Download or read book The 2008 Global Financial Crisis in Retrospect written by Robert Z. Aliber and published by Springer. This book was released on 2019-06-01 with total page 443 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book addresses the causes and consequences of the international financial crisis of 2008. A range of esteemed contributors explore developments in the United States, where the crisis of 2008 originated, as well as the smallest country affected, Iceland, by evaluating developments since 2008. Currently, many countries are facing similar problems as Iceland did in 2008: this book is of interest to economists and policy makers in these countries to study what happened in Iceland, and why the recovery of that economy was strong and swift. The chapters in this book originate from panel discussions and conferences and explore areas including regulation, state projects and inflation.
Download or read book Managing the Sovereign Bank Nexus written by Mr.Giovanni Dell'Ariccia and published by International Monetary Fund. This book was released on 2018-09-07 with total page 54 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper reviews empirical and theoretical work on the links between banks and their governments (the bank-sovereign nexus). How significant is this nexus? What do we know about it? To what extent is it a source of concern? What is the role of policy intervention? The paper concludes with a review of recent policy proposals.
Download or read book Naked Economics Undressing the Dismal Science Fully Revised and Updated written by Charles Wheelan and published by W. W. Norton & Company. This book was released on 2010-04-19 with total page 385 pages. Available in PDF, EPUB and Kindle. Book excerpt: Seeks to provide an engaging and comprehensive primer to economics that explains key concepts without technical jargon and using common-sense examples.
Download or read book Confessions of an Economic Hit Man written by John Perkins and published by Berrett-Koehler Publishers. This book was released on 2004-11-09 with total page 430 pages. Available in PDF, EPUB and Kindle. Book excerpt: Perkins, a former chief economist at a Boston strategic-consulting firm, confesses he was an "economic hit man" for 10 years, helping U.S. intelligence agencies and multinationals cajole and blackmail foreign leaders into serving U.S. foreign policy and awarding lucrative contracts to American business.
Download or read book Prosper or Perish written by Lynette H. Ong and published by Cornell University Press. This book was released on 2012-08-21 with total page 232 pages. Available in PDF, EPUB and Kindle. Book excerpt: The official banking institutions for rural China are Rural Credit Cooperatives (RCCs). Although these co-ops are mandated to support agricultural development among farm households, since 1980 half of RCC loans have gone to small and medium-sized industrial enterprises located in, and managed by, townships and villages. These township and village enterprises have experienced highly uneven levels of success, and by the end of the 1990s, half of all RCC loans were in or close to default, forcing China's central bank to bail out RCCs. In Prosper or Perish, Lynette H. Ong examines the bias in RCC lending patterns, focusing on why the mobilization of rural savings has contributed to successful industrial development in some locales but not in others. Interweaving insightful and theoretically informed discussions of rural credit, development, governance, and bank bailouts, Ong identifies various sources for China's uneven development. In the highly decentralized fiscal environment of the People's Republic, successful industrialization has significant implications for rural governance. Local governments depend on revenue from industrial output to provide public goods and services; unsuccessful enterprises starve local governments of revenue and result in radical cutbacks in services. High peasant burdens, land takings without adequate compensation by local governments, and other poor governance practices tend to be associated with unsuccessful industrialization. In light of the recent liberalization of the rural credit sector in China, Prosper or Perish makes a significant contribution to debates within political science, economic development, and international banking.
Download or read book The Redistributive Effects of Financial Deregulation written by Mr.Anton Korinek and published by International Monetary Fund. This book was released on 2013-12-17 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt: Financial regulation is often framed as a question of economic efficiency. This paper, by contrast, puts the distributive implications of financial regulation center stage. We develop a model in which the financial sector benefits from risk-taking by earning greater expected returns. However, risktaking also increases the incidence of large losses that lead to credit crunches and impose negative externalities on the real economy. We describe a Pareto frontier along which different levels of risktaking map into different levels of welfare for the two parties. A regulator has to trade off efficiency in the financial sector, which is aided by deregulation, against efficiency in the real economy, which is aided by tighter regulation and a more stable supply of credit. We also show that financial innovation, asymmetric compensation schemes, concentration in the banking system, and bailout expectations enable or encourage greater risk-taking and allocate greater surplus to the financial sector at the expense of the rest of the economy.
Download or read book Too Big to Fail written by Gary H. Stern and published by Rowman & Littlefield. This book was released on 2004-02-29 with total page 247 pages. Available in PDF, EPUB and Kindle. Book excerpt: The potential failure of a large bank presents vexing questions for policymakers. It poses significant risks to other financial institutions, to the financial system as a whole, and possibly to the economic and social order. Because of such fears, policymakers in many countries—developed and less developed, democratic and autocratic—respond by protecting bank creditors from all or some of the losses they otherwise would face. Failing banks are labeled "too big to fail" (or TBTF). This important new book examines the issues surrounding TBTF, explaining why it is a problem and discussing ways of dealing with it more effectively. Gary Stern and Ron Feldman, officers with the Federal Reserve, warn that not enough has been done to reduce creditors' expectations of TBTF protection. Many of the existing pledges and policies meant to convince creditors that they will bear market losses when large banks fail are not credible, resulting in significant net costs to the economy. The authors recommend that policymakers enact a series of reforms to reduce expectations of bailouts when large banks fail.
Download or read book The Accumulation of Freedom written by Anthony J. Nocella II and published by AK Press. This book was released on 2012-02-14 with total page 320 pages. Available in PDF, EPUB and Kindle. Book excerpt: The only crisis of capitalism is capitalism itself. Let's toss credit default swaps, bailouts, environmental externalities and, while we're at it, private ownership of production in the dustbin of history. The Accumulation of Freedom brings together economists, historians, theorists, and activists for a first-of-its-kind study of anarchist economics. The editors aren't trying to subvert the notion of economics—they accept the standard definition, but reject the notion that capitalism or central planning are acceptable ways to organize economic life. Contributors include Robin Hahnel, Iain McKay, Marie Trigona, Chris Spannos, Ernesto Aguilar, Uri Gordon, and more.
