This paper aims to examine the basic functions performed by banks. It is argued that financial crisis has altered the traditional economics of banking in an important way. A key element of our paper is the use of a functional perspective to study the economics of banking. It is applicable at...

This paper aims to point out how standardization and financial innovation are putting under pressure the traditional economics of banking.It is argued that the progressive standardization and information technology innovation, with special reference to internal rating systems, risk management...

This paper aims to point out some strategic and operating issues concerning the economics of information technology in the retail banking industry. The first section of this paper explains the economic reasons behind the trend in the Italian retail banking market. The second section analyses the...

This paper aims to investigate the impacts of technological innovations in banking firms. In particular, it aims to explore some strategic and operating issues concerning the production and distribution processes of banking instruments and services. The first section of this paper describes the...

This paper adopts a business management perspective of studies to examine the role of the credit information market in the bank lending industry. This paper analyzes the credit information market as a particular case of vertical disintegration in the bank credit origination value chain. The main...

The paper analyses the different approaches to measure the impact of funding and market liquidity risk in the economics and management of banks. The paper provides also an analysis of the organisational implications of the asset and liability management perspective of liquidity risk. Liquidity...

The interest rate risk is the degree of exposure of a bank's financial condition to adverse movements in interest rates. Changes in interest rates affect a bank's earnings by changing its net interest income and the level of other interest-sensitive income and operating expenses. Changes in...

The paper evaluates the impact of the new bank capital adequacy framework on the bank lending business model. Particularly, the first section compares the standardized approach with the internal rating based approach. The second section analyses the impact of the rating quantification and rating...

The paper examines the diffusion of information technology in the economics of Italian banks. The wide spread of information and communication technology is improving banking and financial services delivery to customers. Particularly, the paper adopts a knowledge management perspective to...