Durable Financial Regulation: Monitoring Financial Instruments as a Counterpart to Regulating Financial Institutions

Financial innovation and the management and regulation of financial institutions

New security designs, improvements in computer and telecommunications technology and advances in the theory of finance have led to revolutionary changes in the structure of financial markets and institutions. This paper provides a functional perspective on the dynamics of institutional change and uses a series of examples to illustrate the breadth and depth of institutional change that is likel...

Supplement to " Financial Institutions , Technology

This supplement considers the role of trade in vertically differentiated final goods in the vintage human capital model, when countries differ in their borrowing constraints. Each new technology is a differentiated good of higher quality in the sense of Lancaster (1966).

A financial network perspective of financial institutions’ systemic risk contributions

This study considers the effects of the financial institutions’ local topology structure in the financial network on their systemic risk contribution using data from the Chinese stock market. We first measure the systemic risk contribution with the Conditional Value-at-Risk (CoVaR) which is estimated by applying dynamic conditional correlation multivariate GARCH model (DCC-MVGARCH). Financial n...

Capability-Based Financial Instruments

Every novel cooperative arrangement of mutually suspicious parties interacting electronically — every smart contract — effectively requires a new cryptographic protocol. However, if every new contract requires new cryptographic protocol design, our dreams of cryptographically enabled electronic commerce would be unreachable. Cryptographic protocol design is too hard and expensive, given our unl...

Financial Regulation