The founding of the Bank for International Settlements: a “commercial bank,” or a “bank for central banks”?

2013 ◽  
pp. 25-61
Keyword(s):  
Commercial Bank ◽  
Central Banks ◽  
Bank For International Settlements

Financial Incentives and Central Bank Authority in Industrializing Nations

1994 ◽  
Vol 46 (4) ◽  
pp. 556-588 ◽  
Author(s):  
Sylvia Maxfield
Keyword(s):  
Central Bank ◽  
Commercial Bank ◽  
Financial Incentives ◽  
Central Banks ◽  
Bank Loans ◽  
Macroeconomic Performance ◽  
Industrial Countries ◽  
Newly Industrializing Countries ◽  
Private Banks ◽  
Cross National

Institutionalist models of macroeconomic performance in advanced industrial countries focus on central bank independence. In newly industrializing countries, however, the behavioral authority of the central bank is a much more significant predictor of inflation than is legal independence, because laws there are not the source of central bank ability to create or defend macroeconomic stability. Financial structures and the incentives they create for government politicians, private bankers, and industrialists explain cross-national variation in the interest and capacity of central banks in developing countries. The greater public sector deficits are, the weaker and/or more dependent private banks are on state assistance; and the larger the portion of industry finance covered by commercial bank loans or state credits, the less likely it is that there will be an authoritative, conservative central bank. Mexico, Thailand, Brazil, and South Korea are the four country cases considered in depth.

scholarly journals The Bank For International Settlements: An Evolutionary Institution

2019 ◽  
Vol 15 (1) ◽  
pp. 19-28
Author(s):  
Michael P. Hughes ◽  
Chris Palke
Keyword(s):  
World War Ii ◽  
World War I ◽  
Central Bank ◽  
Financial Economic ◽  
Central Banks ◽  
Central Banking ◽  
Major Influence ◽  
World War ◽  
Bank For International Settlements ◽  
Financial Power

Established in 1930 in Basel, Switzerland, to expedite and supervise the payment of reparations by Germany to the victors of World War I, the Bank for International Settlements (BIS) quickly evolved into a banking establishment for various national central banks to negotiate and work out mutually-beneficial monetary policies and financial arrangements outside of the usual political and national channels. During World War II the BIS stayed open as a neutral central bank for central banks and provided significant back-channel communications between the Allied and Axis powers that could not have occurred any other way. As an example, discussions for the reconstruction of post-WWII Germany were underway between German and Allied representatives to the BIS at least two years prior to Germany’s surrender in May 1945. The post-WWII BIS then went on to become a global central bank for the world’s national central banks. In spite of the BIS holding so much effective financial power on an international scale and, hence, affecting nearly everyone in the world, few have ever heard of the BIS. This includes many economists and financial-economists. Why? Although technically not a secret organization, the BIS has always maintained an intentionally low profile. The BIS has never advertised its existence. It operates through many other organizations it has either directly created or where it holds major influence. This paper discusses the BIS, its history, and its impact and influence on world events. Questions concerning the role the BIS should possibly play in world events and central banking are raised for discussion near the end of this paper. This paper is focused primarily towards both upper-level undergraduate and graduate finance and economics courses, particularly in the areas of money, banking and financial institutions, financial markets, and monetary policy. However, other courses, to include those outside of the financial-economic arena, can find great use for this subject matter as well. Such outside arenas could include political science and history courses.

scholarly journals FOREWORD

10.26458/1820 ◽  
2018 ◽  
Vol 18 (2) ◽  
pp. 15-20
Author(s):  
Elena Gurgu
Keyword(s):  
Global Economy ◽  
Central Banks ◽  
Trading Partners ◽  
International Body ◽  
Bank For International Settlements ◽  
Trade War

An escalation of protectionist measures in the middle of 2018 could spark a fresh downturn just as the global economy is picking itself up after the last one, the international body that represents the world’s central banks has warned. The Bank for International Settlements (BIS) said there were already signs that “the ratcheting up of rhetoric” was weighing on investment. It comes as USA president steps up hostility with some of the US’s key trading partners and allies, raising fears of a full-blown trade war.

A Lingering Crisis

2019 ◽  
Vol 4 (4) ◽  
Author(s):  
Henri Lepage
Keyword(s):  
Financial Crisis ◽  
Interest Rates ◽  
Economic Indicator ◽  
Central Banks ◽  
Economic Recovery ◽  
2008 Financial Crisis ◽  
Bank For International Settlements ◽  
The 2008 Financial Crisis

Global economic recovery since the 2008 financial crisis has been weak. According to Lawrence Summers, the single most important economic indicator of the current era is the declining trend in interest rates. These views have proven controversial at the Bank for International Settlements in Basel. The BIS researchers take a different view, focusing instead on the activities of the central banks.

scholarly journals Zjawisko firm zombie i jego przyczyny

Ekonomia ◽  
2019 ◽  
Vol 25 (3) ◽  
pp. 9-23
Author(s):  
Daniel Góra
Keyword(s):  
Economic Growth ◽  
Monetary Policy ◽  
Financial Crisis ◽  
Banking Sector ◽  
Central Banks ◽  
Capital Formation ◽  
Entry Barriers ◽  
Review Of The Literature ◽  
Insolvency Law ◽  
Bank For International Settlements

The causes of the existence of zombie firms The aim of this paper is to specify and describe the factors that contribute to the prevalence of zombie firms, defined as old, unprofitable, nearly insolvent firms which normally would exit the market. Based on the review of the literature, mostly published by the Organization for Economic Co-operation and Development OECD, the Bank for International Settlements BIS and central banks, we conclude that the main causes of the rise of zombie firms in the last 10–20 years have been loose monetary policy especially after the outbreak of the financial crisis of 2007–2008, weak banking sector, overbanking of economies, government subsidies to enterprises and weaknesses of insolvency law. We consider the zombification of economies as a highly important issue since zombie companies could be lowering the pace of capital formation, productivity and economic growth by raising entry barriers, curbing Schumpeterian creative destruction and misallocating capital.

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