Financial Regulation After the Global Recession

by Peláez, Carlos M.; Peláez, Carlos A.

• ISBN13: 9780230239029
• ISBN10: 0230239021
• Format: Hardcover
• Copyright: 2009-12-15
• Publisher: Palgrave Macmillan

Summary

The failure on the part of Banks to enforce rigorous self regulation has precipitated a deep and prolonged global recession. This book provides a comprehensive review of principles, institutions and experience of financial regulation, to#xA0;help illustrate#xA0;current regulatory proposals.#xA0;

Author Biography

CARLOS M. PELEZ received a PhD and BS, Phi Beta Kappa from Columbia University, City of New York. CARLOS A. PELEZ received the AB in Statistics from the University of Chicago, USA and the JD from the University of Pennsylvania Law School, where he was a Senior Editor of the Journal of International Law.

Table of Contents

List of Tables	p. x
List of Abbreviations	p. xi
Acknowledgments	p. xiv
Introduction, Scope, and Content	p. 1
Government Intervention and Finance	p. 5
Introduction	p. 5
The first best of efficiency and satisfaction	p. 5
The theory of second best	p. 7
The public interest view	p. 8
Imperfect information	p. 9
Government failure	p. 11
Transactions costs and property rights	p. 12
The new institutional economics	p. 14
The economic theory of regulation	p. 15
Rent-seeking and public choice	p. 18
The view of disclosure and regulation	p. 18
The political economy of the regulatory state	p. 19
Contrasts of public and private interest views	p. 20
Applied welfare economics	p. 22
Finance, efficiency, and growth	p. 22
Summary	p. 26
Appendix: Security prices and cost/benefit analysis	p. 27
Bank Regulation	p. 30
Introduction	p. 30
Approaches to bank and financial regulation	p. 30
Banks versus finance	p. 30
Prudential and systemic regulation	p. 32
Functional and structural finance	p. 34
The law and finance view	p. 38
Bank functions	p. 39
Monitoring and diversification	p. 39
Liquidity transformation	p. 41
Housing finance	p. 42
Securitization and credit-risk transfer	p. 48
Bank capital theory and requirements	p. 52
International capital requirements	p. 54
Deposit insurance	p. 56
Political economy	p. 58
Summary	p. 61
Bank Concentration and Central Banks	p. 63
Introduction	p. 63
Banking market organization	p. 63
Competition and productivity	p. 64
Restrictions on markets	p. 67
Bank concentration	p. 67
Central banks	p. 69
The Federal Reserve System and US regulators and supervisors	p. 69
The European Central Bank	p. 77
The Bank of Japan	p. 80
The Bank of England	p. 81
General principles of central banking	p. 84
Central banking in the United Kingdom	p. 85
Monetary policy, income, and prices	p. 87
Summary	p. 90
Universal Banking, Governance, and Compensation	p. 91
Introduction	p. 91
Universal and specialized banking	p. 91
The political economy of securities legislation	p. 95
Economic analysis of Glass-Steagall	p. 96
The Gramm-Leach-Bliley Financial Modernization Act	p. 98
Hedge funds	p. 101
Corporate governance	p. 109
Remuneration	p. 113
Corporate law	p. 115
Summary	p. 120
Regulation of Securities and Capital Markets	p. 121
Introduction	p. 121
Rules and principles	p. 121
The SEC and self-regulatory organizations	p. 121
The Financial Services Authority	p. 127
Proposals of capital market regulators	p. 130
The Sarbanes-Oxley Act of 2002	p. 133
The law	p. 134
Economic evaluation	p. 138
Corporate governance and performance	p. 140
Gatekeepers	p. 143
Regulation and the choice of exchange listing	p. 147
Summary	p. 149
Regulation and Policy in the Global Recession	p. 150
Introduction	p. 150
The New Deal	p. 150
What caused the credit crisis and global recession?	p. 155
The instruments of monetary policy	p. 157
The Troubled Assets Relief Program	p. 162
Financial Stability Plan	p. 164
Mortgage modification	p. 166
Fiscal policy	p. 167
Liquidity guarantee	p. 168
The Swedish bank workout	p. 170
Regulation	p. 171
Summary	p. 173
Conclusion	p. 175
Notes	p. 178
Index	p. 203
Table of Contents provided by Ingram. All Rights Reserved.

Supplemental Materials

What is included with this book?

The New copy of this book will include any supplemental materials advertised. Please check the title of the book to determine if it should include any access cards, study guides, lab manuals, CDs, etc.

The Used, Rental and eBook copies of this book are not guaranteed to include any supplemental materials. Typically, only the book itself is included. This is true even if the title states it includes any access cards, study guides, lab manuals, CDs, etc.

Rewards Program

Currently unavailable