Regulation of Banks and Finance

CARLOS M. PELÁEZ received a PhD and BS, Phi Beta Kappa from Columbia University, City of New York, USA. He has published books, essays and articles worldwide, including International Financial Architecture, The Global Recession Risk, Globalization and the State: Volume I, Globalization and the State: Volume II and Financial Regulation after the Global Recession. He was Director of the Banco Chase and of the Rio de Janeiro Association of Banks and Vice President of Chase Manhattan Bank, USA. He is Managing Director of CMP Associates, USA.CARLOS A. PELÁEZ received the AB in Statistics from the University of Chicago, USA and the JD from the University of Pennsylvania Law School, where he was a Senior Editor of the Journal of International Law. He has published books and essays worldwide, including International Financial Architecture, The Global Recession Risk, Globalization and the State: Volume I, Globalization and the State: Volume II and Financial Regulation after the Global Recession. He works for a large law firm in New York City, USA.

• List of Tables List of Diagrams List of Abbreviations Acknowledgments Introduction, Scope and Content The Theory of Regulation and Finance Introduction The Public Interest View The First Best Monopoly Externalities Market Failure The Private Interest View Government Failure The Economic Theory of Regulation The Second Best Applied Welfare Economics Property Rights The New Institutional Economics Asymmetry of Information The Modified Capture Theory Finance, Efficiency and Growth Summary Functions and Regulation of Deposit Banks Introduction Regulation Bank Functions Microeconomics of Banking Monitoring Liquidity Transformation Services Capital Requirements Bank Fragility Empirical Analysis International Capital Requirements Deposit Insurance Narrow Banking Deregulation Fair Valuation Government Sponsored Enterprises Summary Deposit Bank Market Power and Central Banking Introduction Banking Competition Market Structure Entry Market Power Concentration and Stability Central Banking Introduction The Transmission of Monetary Policy Inflation Targeting The Lucas Critique and Consistency Summary Investment Banking, Governance, Mergers and Compensation Introduction Market Structure The Glass-Steagall Act Underwriting Loan Syndication Governance Incentive Compensation Mergers and Acquisitions Bank Mergers and Competition Corporate Law Antitakeover Defense Summary Securities Regulation Introduction Exit Leveraged Buyouts Rules and Principles Regulation of New Issues Insider Trading The Decision of Going Public Sarbanes-Oxley Listing Summary The Credit/Dollar Crisis and Recession Regulation Introduction The Global Recession The Great Depression Banks and Money Debt Deflation Theories Financial Market Frictions The Gold Standard Nonmonetary Factors Wages and Employment Growth Theory and the New Deal Origins of the Credit Crisis Monetary and Fiscal Policy Government Ownership and Control of Banks Regulation Summary Conclusion Notes