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Study On The Legal Issues Of Lender Of Last Resort

Posted on:2014-09-12Degree:MasterType:Thesis
Country:ChinaCandidate:Z L ZhangFull Text:PDF
GTID:2296330422968727Subject:Economic Law
Abstract/Summary:PDF Full Text Request
The financial industry not only can push forward the growth of global economic, but also easily lead to the accumulation of financial risks, which seriously threat to the country’s financial security, the history of the global financial crisis is one example. With China’s economic development and the deepening of financial reform, financial industry is extremely active and a variety of financial risks are also increasingly apparent. To this end, as one important part of the financial safety net,the lender of last resort get more and more attention. Analyzing the current status of the lend of the last resort and building the perfect legal system have great practical significance.Lender of last resort has undergone a long process of development, as the financial situation changes, scholars constantly explore new theoretical perspective, many countries also develop and innovative this system through the practice,eventually forming a rich theory of the lender of last resort. In general, the lender of last resort is defined as that,the related department provide assistance for financial institutions,which is suffering crisis, in order to prevent and the systemic risks and maintain financial stability. This system has three characteristics:last,overall and risk,including many specific contents,such as the goal,subject,object and standards.Investigating our system of lender of last resort,we found that,our practice of this system provided much financial support,solved a lot of the economic problems left by history during the transition period,but it also revealed many problems, the legal system of lender of last resort is not perfect, the abuse of the system lead to moral hazard, the lack of deposit insurance system increases the burden of this system.At present, with the establishment of the modern financial system, financial markets is mature, the conditions have been met to build a sound legal system of lender of last resort. we must adhere to the basic principle of lender of last resort,improve relevant legal system, establish the supporting mechanisms,so that the system of lender of last resort can meet the needs of the modern financial system.
Keywords/Search Tags:lend of last resort, the legal system, financial risk, the central bank
PDF Full Text Request
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