1 / 7

Discussion of Nordic Financial Crises

Discussion of Nordic Financial Crises. Lecture 18. Institutional Clash and Financial Fragility. An Evolutionary Model of Banking Crises Sverre Knutsen* and Hans Sjögren ** * Department of Innovation and Economic Organization, Norwegian School of Management

damara
Download Presentation

Discussion of Nordic Financial Crises

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Discussionof Nordic FinancialCrises Lecture18

  2. Institutional Clash and Financial Fragility. An Evolutionary Model of Banking Crises Sverre Knutsen* and Hans Sjögren** * Department of Innovation and Economic Organization, Norwegian School of Management **Department of Management and Engineering, Linköping University and EHFF, Stockholm School of Economics

  3. Theories on FinancialCrises • Business cycleschool • Monetaristschool • Irving Fisher • Kindleberger & Minsky • Market psychology, Shiller

  4. Conceptualframework • Institutional clash • Financial fragility • Financial distress • Systemic risk • Banking crisis • Lender of last resort

  5. A Model for the Evolution of Banking Crises Step 1. Optimism and demandStep 2. Financial muscleStep 3. New rules and GeneralStep 4. Idle capitalStep 5. Debt StructureStep 6. The bubble burstsStep 7. Structural Change

  6. Empiricalanalysis • Sweden - Period I • Norway – Period II • Finland – Period III

  7. Conclusion • Resultsof the comparison • New insights in relation totheory? • What is useful for your essay?

More Related