Deposit insurance and banking stability
Many countries provide extensive deposit insurance as a part of a safety net that promotes stability in the financial system. An unintended conequence of deposit insurance is that it reduces depositors’ incentives to supervise banks, leading to excessive risk-taking. The article discussed the rel...
Main Author: | |
---|---|
Format: | Article |
Language: | English |
Published: |
THOT Publishing House
2021-11-01
|
Series: | Journal of Research and Innovation for Sustainable Society |
Subjects: | |
Online Access: | http://jriss.4ader.ro/pdf/2021-02/24_Ec.pdf |
_version_ | 1818935748107173888 |
---|---|
author | Cyrine Snen |
author_facet | Cyrine Snen |
author_sort | Cyrine Snen |
collection | DOAJ |
description | Many countries provide extensive deposit insurance as a part of a safety net that
promotes stability in the financial system. An unintended conequence of deposit insurance is that
it reduces depositors’ incentives to supervise banks, leading to excessive risk-taking. The article
discussed the relationship between deposit insurance, bank risks and systemic vulnerabilities
before and during the Great Financial Crisis |
first_indexed | 2024-12-20T05:25:06Z |
format | Article |
id | doaj.art-765a1c275efc43b9b5a5c56042f69913 |
institution | Directory Open Access Journal |
issn | 2668-0416 |
language | English |
last_indexed | 2024-12-20T05:25:06Z |
publishDate | 2021-11-01 |
publisher | THOT Publishing House |
record_format | Article |
series | Journal of Research and Innovation for Sustainable Society |
spelling | doaj.art-765a1c275efc43b9b5a5c56042f699132022-12-21T19:51:54ZengTHOT Publishing HouseJournal of Research and Innovation for Sustainable Society2668-04162021-11-013221522010.33727/JRISS.2021.2.24:215-220Deposit insurance and banking stabilityCyrine Snen0University of Manouba, Business School of Tunis, Tunis, TunisiaMany countries provide extensive deposit insurance as a part of a safety net that promotes stability in the financial system. An unintended conequence of deposit insurance is that it reduces depositors’ incentives to supervise banks, leading to excessive risk-taking. The article discussed the relationship between deposit insurance, bank risks and systemic vulnerabilities before and during the Great Financial Crisishttp://jriss.4ader.ro/pdf/2021-02/24_Ec.pdffinancial systemstabilityrisk-takingdeposit insurancebank risk |
spellingShingle | Cyrine Snen Deposit insurance and banking stability Journal of Research and Innovation for Sustainable Society financial system stability risk-taking deposit insurance bank risk |
title | Deposit insurance and banking stability |
title_full | Deposit insurance and banking stability |
title_fullStr | Deposit insurance and banking stability |
title_full_unstemmed | Deposit insurance and banking stability |
title_short | Deposit insurance and banking stability |
title_sort | deposit insurance and banking stability |
topic | financial system stability risk-taking deposit insurance bank risk |
url | http://jriss.4ader.ro/pdf/2021-02/24_Ec.pdf |
work_keys_str_mv | AT cyrinesnen depositinsuranceandbankingstability |