Financial instability and banks’ balance sheets: A note
South African Journal of Business Management
| Field | Value | |
| Title | Financial instability and banks’ balance sheets: A note | |
| Creator | Abraham, H. | |
| Description | Following the recent financial crisis, it is sometimes argued that financial institutions should be regulated to a greater extent than before in order to prevent a recurrence of global financial crises. It is argued here that since banks create liquidity ex nihilo in exchange for financial collaterals whose nominal values are subject to market fluctuations, in general, banks’ regulation can have only a limited effect on the stability of the financial system. Monetary policy of central banks (i.e., setting short term interest rate) is essential to monitor asset prices and thereby create a stable financial environment. | |
| Publisher | AOSIS | |
| Date | 2012-09-30 | |
| Identifier | 10.4102/sajbm.v43i3.477 | |
| Source | South African Journal of Business Management; Vol 43, No 3 (2012); 95-98 2078-5976 2078-5585 | |
| Language | eng | |
| Relation |
The following web links (URLs) may trigger a file download or direct you to an alternative webpage to gain access to a publication file format of the published article:
https://sajbm.org/index.php/sajbm/article/view/477/406
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