Abstract: Using a survey dataset of Chinese rural households, we find that access to external finance is positively associated with the decision to become entrepreneur, the initial investment for microenterprises and the use of external finance. Also, we find that the use of informal finance is...

This paper analyzes the distortions that banks’ cross-border activities, such as foreign assets, deposits and equity, can introduce in the regulatory process. We find that while each individual dimension of cross-border activities distorts the incentives of a domestic regulator, a balanced...

AbstractThe following sections are included:IntroductionThe Financial Possibility FrontierTaxonomy of Financial Sector ChallengesThe Role of Competition in Financial DeepeningThe Role of Financial InnovationGlobalizationWhat Role for Government?Beyond Policies—All Financial Sector Policy is...

This paper uses survey data for 29,000 households from 29 transition economies to explore how the use of banking services is related to household characteristics, bank ownership structure and the development of the financial infrastructure. At the household level we find that the holding of a...

As a result of the recent financial crisis, there has been significant public debate on the role of the financial sector in bringing about the ""Great Depression."" More generally, there has been debate about whether the current industry structure has enhanced social welfare or served a...

How to avoid taxpayers paying for bank failures and banking crises? This book provides a proposal and a critique by twelve independent experts. It is addressed particularly to the threat posed in Europe by having large international banks, a history of bailouts and limited means of resolving any...