FINANCIAL STABILITY AND THE REGULATION OF BANKS
2014/2015, Semester 2
Modular Credits: LL4241 ( 4 ) / LL5241 ( 4 ) / LL6241 ( 4 )
This course begins with an analysis of the fragility of the business model of commercial and investment banks and the negative externalities of bank failure. It then focuses on three principal functions of bank regulation: (1) making banks more resilient to business shocks; (2) making it less likely that banks will suffer shocks; (3) and facilitating the resolution and recovery of banks which fail. The focus will be on the crucial policy choices involved in achieving these objectives; the trade-offs among the available legal strategies; and the problems of regulatory arbitrage (shadow banking).
NUS Compulsory Core Curriculum or its equivalent.
9 sessions over 3 weeks: Three, 3hr weekly seminars
Intensive: Week 1 - 3: 13 - 30 January 2015
Mode of Assessment:
Class Participation - 20%; 6-hr Take Home Exam - 80% [Release: Fri, 6 March 2015 (1pm); Due: Fri, 6 March 2015 (7pm)]