Resolution Reform

Financial and Economic Review, Vol. 13, Issue 4, pp. 86-99, 2014

14 Pages Posted: 5 Apr 2016

See all articles by Thomas Huertas

Thomas Huertas

Goethe University Frankfurt - Institute of Law and Finance; Center for Financial Studies

Date Written: November 10, 2014

Abstract

Although bail-outs helped contain the financial crisis in 2008, making bail-outs the norm would undermine the public finances and sow the seeds for future crises. To prevent this, policymakers are reforming resolution at both the global and European level. This will assure that banks can fail without significant disruption to financial markets or the economy at large with shareholders and creditors, not taxpayers, bearing the cost. That in turn will improve market discipline and reinforce regulatory and supervisory measures to enhance financial stability.

Keywords: banking, resolution, regulation, bail-in, financial stability

JEL Classification: H12

Suggested Citation

Huertas, Thomas, Resolution Reform (November 10, 2014). Financial and Economic Review, Vol. 13, Issue 4, pp. 86-99, 2014. Available at SSRN: https://ssrn.com/abstract=2756964

Thomas Huertas (Contact Author)

Goethe University Frankfurt - Institute of Law and Finance ( email )

Campus Westend - Grüneburgplatz 1
Frankfurt, 60323
Germany

Center for Financial Studies ( email )

Grüneburgplatz 1
Goethe University
Frankfurt am Main, 60323
Germany

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
35
Abstract Views
242
PlumX Metrics