Social and Behavioral Sciences Commons^™

David Hume On Banking And Hoarding, Maria Paganelli

Maria Pia Paganelli

David Hume opposes banks and favors hoarding. The only bank he reluctantly approves of is a public, 100% reserve bank. Other banks increase money supply and prices, hindering exports and economic growth. For Hume, a 100% reserve public bank would lead to ‘‘the destruction of paper-credit’’ ([1752] 1985, p. 285), fostering economic growth instead by preventing inflation. Additionally, a 100% reserve bank hoards a large quantity of gold and silver, which is available in case of national emergency.

Theories And Practices Of Islamic Finance And Exchange Laws: Poverty Of Interest, Ahmed E. Souaiaia

Ahmed E SOUAIAIA

Against Regulatory Displacement: An Institutional Analysis Of Financial Crises, Jonathan C. Lipson

Jonathan C. Lipson

This paper uses “institutional analysis”—the study of the relative capacities of markets, courts, and regulators—to make three claims about financial crises.

First, financial crises are increasingly a problem of “regulatory displacement.” Through the ad hoc rescues of 2008 and the Dodd-Frank reforms of 2010, regulators displace market and judicial processes that ordinarily prevent financial distress from becoming financial crises. Because regulators are vulnerable to capture by large financial services firms, however, they cannot address the pathologies that create crises: market concentration and complexity. Indeed, regulators may inadvertently aggravate these conditions through resolution tactics that consolidate firms, and the volume and …

Government Versus Market Regulation: The Nanny State Or The Liberal State, Warren Coats

Warren Coats

The nanny state world is characterized by a growing list of regulations and government supervision of business in an effort to fix the most recently observed problems. The price of such protection is the increased cost of doing business, which tends to crowd out small businesses and favor large ones, which can more easily absorb the compliance costs. The benefit is often difficult to detect. Has Dodd-Frank really made it feasible to fail our largest banks (now larger than they were just before the Great Recession), i.e. are they no longer too big to fail?

The self-governing, liberal state—"Liberalism unrelinquished"—is …

Banking Reform In Russia: Winds Of Change?, Abdur Chowdhury

Abdur R. Chowdhury

Only a successful implementation of an overall reform program will enable Russian banks to provide financial intermediation and assist in the country's development from a nascent market economy to a mature financial system. The chances for reform are better now than at any time during the last decade. Favorable political and economic conditions and a change in attitude among bank management have created an unusual window of opportunity. The paper analyzes the past performance of the Russian banking industry, evaluates the reform agenda of the monetary authority, and argues for an overall reform program in order to seize the available …

Banking Records, Business And Networks In Colonial Sydney, 1817-24, Leanne Johns, Simon Ville

Simon Ville

Examining accounting transactions between depositors in the first accounts ledger of the Bank of New South Wales contributes to our knowledge of early Australian colonial businesspeople and their business activities. A social network analysis framework is applied to the transactions to disclose business networks and prominent individuals in the networks. The analysis seeks to ascertain the importance of these people to commerce and the significance of their networks in facilitating commercial relationships in a business environment fraught with uncertainty. The results illustrate the importance of networks to colonial trade and mercantile activity, especially for smaller scale businesspeople.aehr_348

Customer Satisfaction Measurement For State Owned Banks In Least Developed Countries- A Case Of Bangladesh, Muhammad Khondaker, Monir Mir

Muhammad S Khondaker

Customer Satisfaction has become an important dimension for performance measurement particularly for banking and finance industry. As most banks and finance organizations offer similar products and services, improving customer satisfaction and loyalty is the most important factor in maintaining as well as increasing market share for these organizations. Customer satisfaction is grossly neglected area for performance measurement in most Least Developed Countries (LDCs) including Bangladesh. Like most LDCs, Bangladesh is also facing external pressures from IMF, World Bank, ADB etc for reforming incompetent financial sector. The purpose of the paper is to identify the factors that affect and explain customer …

Measuring The Banking Efficiency And Productivity Changes Using The Hicks-Moorsteen Approach: The Case Of Iran, Amir Arjomandi, Charles Harvie, Abbas Valadkhani

Amir Arjomandi

This study is the first to use a comprehensive decomposition of the Hicks–Moorsteen TFP index developed by O’Donnell (2010a) to analyse efficiency and productivity changes in a banking context. The paper investigates the efficiency and productivity growth of the Iranian banking industry between 2003 and 2008, encompassing pre- and post-2005-reform years. The advantage of this approach over the popular constant-returns-to-scale Malmquist productivity index is that it is free from any assumptions concerning firms’ returns to scale. We assume that the production technology exhibits variable returns to scale. Our findings show that the banking industry’s technical efficiency level – which had …

Implementing Dodd-Frank: A Review Of The Cftc‟S Rulemaking Process: Testimony, Michael Greenberger

Michael Greenberger

The Relationship of Unregulated OTC Derivatives to the Meltdown. It is now accepted wisdom that it was the non-transparent, poorly capitalized, and almost wholly unregulated over-the-counter (“OTC”) derivatives market that lit the fuse that exploded the highly vulnerable worldwide economy in the fall of 2008. Because tens of trillions of dollars of these financial products were pegged to the economic performance of an overheated and highly inflated housing market, the sudden collapse of that market triggered under-capitalized or non-capitalized OTC derivative guarantees of the subprime housing investments. Moreover, the many undercapitalized insurers of that collapsing market had other multi-trillion dollar …

Sisteme Bancare Comparate. Comparative Analysis Of Banking Systems, Cristi Spulbăr, Mihai Nițoi

Cristi Spulbăr

No abstract provided.

What Is Going On With Our Economy, Tom Campbell

Tom Campbell

The financial crisis was caused by two factors. First was the abnormally easy money policy followed by the Federal Reserve for many years, keeping down interest rates, and creating a bubble in real estate. The second was the influence of the federal government, under both parties, and through both Congress and the President, to increase home ownership whether or not individuals were financially able to carry the mortgage. The first factor fed the second as higher real estate prices gave the impression that refinancing would be able to pay off mortgages even if a borrower's income could not. Solutions to …

U.S. Appellate Court Ruling Deals Fatal Blow To Argentina Brady Bond Debt Swap, Mark J. Calaguas

Mark J Calaguas

No abstract provided.

Analysis Of The Impact Of Cash Out-Flow From The Banking Sector On The Sudanese Economy, Issam A.W. Mohamed Professor

Professor Issam A.W. Mohamed

Sudan as an example of LDCs the banking sector has been suffering from the problem of cash outflow over the last three decades, generating the following impacts: Loss of banking sector of its role of financial inter-mediation, cash scarcity in the banking sector, large government borrowings from unreal source of finance, thus, more inflation. The research attempts to specify the main determinants of cash outflow from the banking sector in Sudan (during the period 1972-2001). Hence, those revealing the major impacts of the cash outflow on the economic activity and rates of inflation. The research hypotheses were: (1) the Banks …

Impacts Of Islamic And Commercial Banks' Reserves Restrictions On Macroeconomic Parameters Of Sudan (2007-2009), Professor Issam A.W. Mohamed

Professor Issam A.W. Mohamed

The paper analyzes the impacts of Islamic and conventional Banks reserves' restrictions in Sudan. Comprehensively, those restrictions are necessary for health banks, performance and the viability of the macroeconomic performance in any country. The selected period of the analysis (2007-2009) is vital to study impacts of the Global Financial Crisis on the Sudanese economy. The paper introduces available data on banks institutions, macroeconomic policies and the central Bank of Sudan considering its part on controlling money supply and demand besides drawing policies for banks behaviors. It is conceivable from my conclusions here that there are conflicts between conventional and Islamic …

The Government Shareholder: Regulating Public Ownership Of Private Enterprise, Benjamin A. Templin

Benjamin A. Templin

During the subprime financial crisis of 2007-2009, the U.S. transformed its policies from a focus on privatization and deregulation to one where the government plays an active role as a market participant. By the end of the 2009 fiscal year, the U.S. government became one of the largest shareholders in the world owning a portfolio of investments valued at $959 billion. Some pundits condemned the investments as socialism. The sudden increase in the government portfolio is better understood as a Keynesian response to market failure rather than a change in the political economy. However, the dramatic increase in the government …

Portable Bank Account, Vijaya Krushna Varma Mr

VIJAYA KRUSHNA VARMA Mr

Varma suggests radical bank reforms to usher in fully liberalized and transparent economic system. The time has come to radically reform banking sector to the ultimate level where there will be no NPAs, unemployment, black money, fake currency, economic recession and corruption. The government should liberalise the banking sector to establish a bank branch at every village or colony having population of 2500 so that each bank shall handle approximately 2000 accounts. The main objectives of fully liberalised banking sector are as follows* To give every citizen above the age of 15 years a portable bank savings account with permanent …

Varma's Model Banking System, Vijaya Varma

VIJAYA KRUSHNA VARMA Mr

Varma designed and developed a new banking system for the world to usher in fully liberalized and transparent economic system. The time has come to radically reform banking sector to the ultimate level where there will be no NPAs, unemployment, black money, fake currency, economic recession and corruption.

Banking For All And For Everything, Vijaya Varma

VIJAYA KRUSHNA VARMA Mr

Varma suggests radical bank reforms to usher in fully liberalized and transparent economic system. The time has come to radically reform banking sector to the ultimate level where there will be no NPAs, unemployment, black money, fake currency, economic recession and corruption. Liberalise the banking sector to establish a bank branch at every village or colony having population of 2500 so that each bank shall handle approximately 2000 accounts. * To give every citizen above the age of 15 years a portable bank savings account with permanent account number from birth to death. This portable bank account can be shifted …

How To Prevent Npas In Banks, Vijaya Krushna Varma Mr

VIJAYA KRUSHNA VARMA Mr

Varma suggests radical bank reforms to prevent NPAs in banking sector. Prevention is better than cure. The problem should be tackled at the source itself before it gets monster size. Instead of finding solutions and measures to reduce NPAs, the banking sector should be restructured so that there is no scope for NPAs or bad loans generation in banks.

Portable Savings Account Module, Vijaya Krushna Varma Mr

VIJAYA KRUSHNA VARMA Mr

Portable savings account is an involuntary tax paying account. Citizens need not maintain separate account books for paying either Direct taxes or Indirect taxes. Citizens need not submit tax returns annually. There will be no expenditure cost for the government for collecting taxes.

Functional Programs For Money Changes In Banking System, Vijaya Krushna Varma Mr

VIJAYA KRUSHNA VARMA Mr

Varma developed new banking system for auto adjusted money supply without any external regulators.

Code, Crash, And Open Source: The Outsourcing Of Financial Regulation To Risk Models And The Global Financial Crisis, Erik F. Gerding

Erik F. Gerding

The widespread use computer-based risk models in the financial industry in the last two decades enabled the marketing of more complex financial products to consumers, the growth of securitization and derivatives, and the development of sophisticated risk management strategies by financial institutions. Over this same period, regulators increasingly delegated or outsourced vast responsibility for regulating risk in both consumer finance and financial markets to these private industry models. The proprietary risk models of financial institutions thus came to serve as a “new financial code” that regulated transfers of risk among consumers, financial institutions, and investors.

The spectacular failure of financial …

Islamic Finance Unit Takes Bank Beyond Michigan Roots, Karen Hunt Ahmed

Karen Hunt Ahmed

No abstract provided.

Nonparametric Event Study Tests, Arnold R. Cowan

Arnold R. Cowan

This paper provides the first documentation of the power and specification of the generalized sign test, which is based on the percentage of positive abnormal returns in an estimation period. In simulations using daily stock return data, the generalized sign test is well specified with both exchange listed and Nasdaq stocks. A rank test is more powerful under ideal conditions. However, the rank test is more sensitive to increases in the length of the event window, to increases in return variance and to thin trading. The generalized sign test is a viable alternative to the rank test under these conditions.

The Jacksonians, Banking, And Economic Theory: A Reinterpretation, Jeffrey Rogers Hummel

Jeffrey Rogers Hummel

No abstract provided.