The Benefits and Costs of Intervening in Banking Crises /

This paper provides a framework to assess the benefits and costs of intervening in a banking crisis. Intervention involves liquidity support and resolution actions. Principal benefits of intervention include avoiding panic and eliminating the economic costs of distorted incentives. Principal costs i...

Ausführliche Beschreibung

Bibliographische Detailangaben
1. Verfasser: Frydl, Edward
Weitere Verfasser: Quintyn, Marc
Format: Zeitschrift
Sprache:English
Veröffentlicht: Washington, D.C. : International Monetary Fund, 2000.
Schriftenreihe:IMF Working Papers; Working Paper ; No. 2000/147
Online Zugang:Full text available on IMF
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245 1 4 |a The Benefits and Costs of Intervening in Banking Crises /  |c Edward Frydl, Marc Quintyn. 
264 1 |a Washington, D.C. :  |b International Monetary Fund,  |c 2000. 
300 |a 1 online resource (78 pages) 
490 1 |a IMF Working Papers 
500 |a <strong>Off-Campus Access:</strong> No User ID or Password Required 
500 |a <strong>On-Campus Access:</strong> No User ID or Password Required 
506 |a Electronic access restricted to authorized BRAC University faculty, staff and students 
520 3 |a This paper provides a framework to assess the benefits and costs of intervening in a banking crisis. Intervention involves liquidity support and resolution actions. Principal benefits of intervention include avoiding panic and eliminating the economic costs of distorted incentives. Principal costs include fiscal costs and the economic costs of delay. The government's main decision concerns the length of the resolution horizon-whether to adopt a deliberate or an aggressive resolution strategy. Dominant factors affecting net benefits are the relative size of the banking system and the loss liquidation rate on assets financed by bank loans. 
538 |a Mode of access: Internet 
700 1 |a Quintyn, Marc. 
830 0 |a IMF Working Papers; Working Paper ;  |v No. 2000/147 
856 4 0 |z Full text available on IMF  |u http://elibrary.imf.org/view/journals/001/2000/147/001.2000.issue-147-en.xml  |z IMF e-Library