Research Catalog

Systemically Important Banks and Capital Regulation Challenges

Title
Systemically Important Banks and Capital Regulation Challenges [electronic resource] / Patrick Slovik
Author
Slovik, Patrick.
Publication
Paris : OECD Publishing, 2012.

Available Online

Full text online available onsite at NYPL

Details

Description
18 p.; 21 x 29.7cm.
Summary
Bank regulation might have contributed to or even reinforced adverse systemic shocks that materialised during the financial crisis. Capital regulation based on risk-weighted assets encourages innovation designed to circumvent regulatory requirements and shifts banks' focus away from their core economic functions. Tighter capital requirements based on risk-weighted assets may further contribute to these skewed incentives. The estimated macroeconomic costs of redirecting banks' attention away from such unconventional business practices are low. During a medium-term adjustment period, for each percentage point of bank equity, regulation that is not based on risk-weighted assets would affect annual GDP growth by -0.02 percentage point more than under the risk-weighted assets framework. Refocusing banks' attention toward their main economic functions is a core requirement for durable financial stability and sustainable economic growth.
Series Statement
OECD Economics Department Working Papers, 1815-1973 ; no.916
Uniform Title
OECD Economics Department Working Papers, no.916.
Subject
Economics
LCCN
10.1787/5kg0ps8cq8q6-en
OCLC
oecd-lib-000878
Author
Slovik, Patrick.
Title
Systemically Important Banks and Capital Regulation Challenges [electronic resource] / Patrick Slovik
Imprint
Paris : OECD Publishing, 2012.
Series
OECD Economics Department Working Papers, 1815-1973 ; no.916
OECD Economics Department Working Papers, 1815-1973 ; no.916.
Connect to:
http://dx.doi.org/10.1787/5kg0ps8cq8q6-en
Indexed Term
Economics
Other Standard Identifier
10.1787/5kg0ps8cq8q6-en doi
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