G28 - Government Policy and Regulation

• An Analysis of Closure Policy under Alternative Regulatory Structures

  Staff Working Paper 2005-11 Greg Caldwell

  The author develops a theoretical model of bank closure. The regulatory decision about bank failure consists of two parts: whether to close and how to close.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Financial institutions JEL Code(s): G, G2, G21, G28

• The New Basel Capital Accord and the Cyclical Behaviour of Bank Capital

  Staff Working Paper 2004-30 Mark Illing, Graydon Paulin

  The authors conduct a counterfactual simulation of the proposed rules under the new Basel Capital Accord (Basel II), including the revised treatment of expected and unexpected credit losses proposed by the Basel Committee in October 2003.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Financial institutions JEL Code(s): G, G2, G21, G28, K, K2, K23

• Competition in Banking: A Review of the Literature

  Staff Working Paper 2004-24 Carol Ann Northcott

  The author reviews the theoretical and empirical literature to examine the traditional perception that the following trade-off exists between economic efficiency and stability in the banking system: a competitive banking system is more efficient and therefore important to growth, but market power is necessary for stability in the banking system.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Financial institutions, Financial services, Market structure and pricing JEL Code(s): G, G2, G21, G28, L, L1, L11, L12, L13, L16

• Public Venture Capital and Entrepreneurship

  Staff Working Paper 2004-10 Oana Secrieru, Marianne Vigneault

  Entrepreneurship is a key factor in promoting growth in output and employment. Consequently, to encourage new start-ups, most governments in developed countries have public venture capital programs.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Financial markets, Fiscal policy, Labour markets JEL Code(s): D, D2, G, G2, G24, G28, J, J2, J24, M, M1, M13

• Essays on Financial Stability

  Technical Report No. 95 John Chant, Alexandra Lai, Mark Illing, Fred Daniel

  The four essays published here provide a useful overview for anyone interested in understanding the issues and policy environment surrounding financial system stability.

  Content Type(s): Staff research, Technical reports Research Topic(s): Financial institutions, Financial markets JEL Code(s): G, G2, G28

• Modelling Financial Instability: A Survey of the Literature

  Staff Working Paper 2002-12 Alexandra Lai

  The magnitude and frequency of recent financial crises underscore the importance of understanding financial instability for the purpose of crisis prevention and crisis management.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Financial institutions, Financial markets, Financial services JEL Code(s): G, G2, G20, G21, G28

• The Effects of Bank Consolidation on Risk Capital Allocation and Market Liquidity

  Staff Working Paper 2002-5 Chris D'Souza, Alexandra Lai

  This paper investigates the effects of financial market consolidation on risk capital allocation in a financial institution and the implications for market liquidity in dealership markets. We show that an increase in financial market consolidation can have ambiguous effects on liquidity in foreign exchange and government securities markets.

  Content Type(s): Staff research, Staff working papers Research Topic(s): Financial institutions, Financial markets JEL Code(s): G, G2, G28, G3, G31, G34

• Regulation of Financial Institutions: A Functional Analysis

  Technical Report No. 45 John Chant

  This study has three main objectives: First, to examine the reasons for the existence of financial institutions that simultaneously lend to one group and borrow from another; second, to analyze the reasons for the special treatment of these institutions in terms of the regulation that governs their activities; and third, to assess the types of […]

  Content Type(s): Staff research, Technical reports Research Topic(s): Financial institutions JEL Code(s): G, G2, G28