Effective Supervision Of The Banking Sector In China

This text is divided into five chapters:First section of chapter one introduce the source of supervise theory, including public interest theory, chasing theory, renting theory, economy supervision theory and make a summary. Public interest theory put forward that supervision is one measure lower or dispel market failure. The theory assumes three kinds of situations that the market does not work: natural monopoly, external effect and asymmetric information. Chasing theory think that supervision is applied to meet demand of industry department, legislators are dredged and utilized by industry department, the supervision department has been controlled by industry department all the time, Supervision is favorable to the person supervised finally, and the theory imply that supervision can improve competence between person supervised and person who supervise. Renting theory think renting phenomenon also exit in financial supervision, it will influence efficiency and justice supervised. Economy supervision theory think control stems from the inter-dynamic between the demand of interest group and the supply of government from the angle that the democratic government must obtain industry support, and supervision is also a phenomenon of wealth transformation among different interest groups. Section two tells emphatically how supervision theory is applied in practice.Chapter two expounded the rule and practice of international effective bank supervision. Section one introduce the background of"Basel agreement"produce and reference meaning, in narrow sense, Basel agreement is a jointly supervise way in world; certainly, it is also a kind of agreement type supervision. But the most important form which the international commercial bank jointly supervises has very strong restriction. It has shown the newest trend of international bank...