|
Market discipline:
 banks’
responses to depositors, 111-112
Basel
II pillar on, 227-228
costs
and benefits of, 108-109
and
deposit insurance, 111
empirical
evidence in Latin America of, 110,
116
financial
instability and, 109box
and
macroeconomic shocks, 108
policies
for enhancement of, 112-114
supervisory
discipline vs., 20, 107-108,
112
Market failures, 60-62
Materiality, 239
Materials Bank (Peru), 216
Maturity mismatch, 213,
219
Mexico:
bank
runs, 109box
banking
crisis resolution, 72box,
73-77, 79,
82
credit
registries, 179
crisis
(1994), 65
deposit
insurance, 103-104
financial
dollarization, 49, 51,
65
foreign
banks, 119, 129,
132box, 133,
136
housing
finance, 210, 218-222
invoice
discounting, 198, 199box
money
laundering, 244
public
debt and deficit, 18fig
small and medium enterprises, 187,
190
state-owned
banks, 147-149, 152.
See also Tequila crisis
Microfinance, 191
Minimum variance portfolio (MVP) model, 58-60,
62
Monetary policy:
banks
as transmission belt for, 142-143
and
financial dollarization, 62-64
inflation,
53-54
for
sudden stops, 47
Money laundering:
advances
against, 251
banking
system weaknesses and, 246
challenges
for, 252
corporate
governance’s quality and, 247-248
and
corruption, 243
defined,
241
determinants
of, 244, 246,
248, 253-256
development
of capital markets, 246-247
economic
distortion through, 242
efforts
against, 249-251
financial
integrity and reputation risk, 242
government
institutions’ quality and, 247
government
resources affected by, 242
in
Latin America, 243-244,
251-252
as
percentage of GDP, 25
pervasiveness
of, 244fig
steps
for, 241
and
terrorism finance, 245box
underground
economy and, 244, 247
Moral hazard:
as
cause of banking crises, 14,
32-33, 39
collateral
used for reduction of, 167
credit
booms and, 33
defined,
10
deposit
insurance and, 33, 88-89,
100
and
financial safety nets, 19
with
fixed exchange rates, 42
information
asymmetry and, 175, 194
regulations
for prevention of, 85, 88
Mortgage trusts, 218
Mortgages, 164. See also
Housing finance in Latin America
Movable assets, 164, 192
Mundell-Fleming effects, 51,
62
|
