Journal of Financial Stability Vol. 8 No. 3 2012
Regulatory capture and banking supervision reform
Abstract
We analyze whether banking supervision responsibilities should be concentrated in the hands of a single supervisor. We find that splitting supervisory powers among different supervisors is a superior arrangement in terms of social welfare to concentrating them in a single supervisor when the capture of supervisors by bankers is a concern. This result has implications for the design of banking supervisory architecture and informs current reform efforts in this field.
- DOI
- 10.1016/j.jfs.2011.07.002
- Volume
- 8
- Issue
- 3
- Pages
- 206-217
- Language
- en
- Sources
- openalex crossref bibtex:phds-export.bib