publication . Preprint . 1993

Financial reform lessons and strategies

Caprio Jr, Gerard; Atiyas, Izak; Hanson, James;
Open Access
  • Published: 28 Feb 1993
Abstract
The argument in favor of gradual - but sustained - financial reform is based on two factors. First, the development of borrower net worth will determine the health of the real and, ultimately, the financial sector. Thus, speeding up reforms when borrower net worth is subject to positive shocks - or slowing them when it is subject to negative shocks - appears sensible and appears to have worked better in practice. Second, the initial conditions of the banking sector - not just its net worth but its stock of human capital, the initial portfolio mix, and the internal incentive systems - will also determine the success of any reforms. Thus the speed of financial ref...
Subjects
free text keywords: Environmental Economics&Policies,Economic Theory&Research,Financial Crisis Management&Restructuring,Banks&Banking Reform,Financial Intermediation

1. General Considerations .....................................

3. Towards a Strategy for Financial Sector Reform. i) Institutional assessments.................................... ii) Restore and recapitalize?.................................... iii) Restructuring of the Real Sector.................................... iv) Next steps.... v) What to avoid .....................................

26. SeeCaprioandLevine(1992)and CapdioandHonoban(1991)foran elaborationon thesecriteriafor,

Leipziger, Danny M., 1988. "IndustrialRestructuring in Korea," WorldDevelopnent, vol.

167, pp. 121-135.

Powered by OpenAIRE Open Research Graph
Any information missing or wrong?Report an Issue