A Comparative Study On Banking Crisis Relief Measures

Since the1990s, along with the rapid development of global financial industry and the improvement of financial liberalization, all sorts of hidden crisis emerge among them. Especially since2010, the academic researches on banking crisis have begun to become an unprecedented hot topic. Among them, the researches about the government relief measures were particularly intense. Based on the banking crisis management modes in40countries from1970to2009in the IMF report as the data foundation, this paper begin to discuss about the relief measures in banking crisis and the compare the cost, after analyzing the relief measure experience among the international users, this paper tried to find the relatively best relief measure, and discuss the feasibility of these measures in our country.This paper firstly explains why the bank crisis needs relief, and analysis the traditional economics theory about this issue and the cost related. On the basis of these theories, this paper uses a model to explain the measures that have been generally adopted in major banking crisis and enumerates the international status of the use. Then, this paper analyzes the direct cost for bank crisis management-the financial expenditure and inflation and the indirect cost caused by moral risk. At the same time, the international experience of these cost performance for statistical comparison can lead to the conclusion:deposit guarantee system strengthening, banks being sold to foreign organizations or state and the establishment of an asset management company are three measures having relative low cost. In the last chapter, based on the cost measure feasibility in our country analyzed, and according to the situation of our country, this paper give many suggestions to our government, such as putting forward to establish a complete banking crisis disposal system, small and medium-sized banks with too heavy debt problems exiting market, perfect central bank" lender of last resort" system in the immature stage, making good use of our bank nationalization advantages, perfect system of deposit insurance and Asset Management Corporation and such like.