Bankruptcy: The Consequence of Defective Bank Management (Falimentul: Consecinta unui Management Bancar Defectuos) (Romanian)

Economia Seria Management, Vol. 12, No. 2, 2009

18 Pages Posted: 28 Nov 2009

See all articles by Imola Driga

Imola Driga

University of Petrosani

Dorina Nita

University of Petrosani

Abstract

Bank failure is the result of a defective management in banking leading the bank to a stage of bankruptcy, which means that the insolvent bank is going to be closed by the banking authority. In general, the banking sector is viewed as more vulnerable to contagion than other industries since banks are viewed as more susceptible to failures. Thus, the paper addresses the issue of bank insolvency as an extreme consequence of materialized risks, resulting in a payment disability for the bank. The paper presents the causes and consequences of bankruptcy and analysis the situation of bankruptcies in the Romanian banking system which was confronted with a number of bankruptcies beginning with 1994 and involving several significant financial institutions

Note: downloadable document is in Romanian

Keywords: insolvency risk, bank failures, systemic risk, bank regulation

JEL Classification: G21, G14, E58, F34

Suggested Citation

Driga, Imola and Nita, Dorina, Bankruptcy: The Consequence of Defective Bank Management (Falimentul: Consecinta unui Management Bancar Defectuos) (Romanian). Economia Seria Management, Vol. 12, No. 2, 2009, Available at SSRN: https://ssrn.com/abstract=1514526

Imola Driga (Contact Author)

University of Petrosani ( email )

20, Str. Universitatii
Petrosani 332006
Romania

Dorina Nita

University of Petrosani ( email )

20, Str. Universitatii
Petrosani 332006
Romania

Do you have negative results from your research you’d like to share?

Paper statistics

Downloads
179
Abstract Views
1,288
Rank
303,525
PlumX Metrics