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Market Discipline and Deposit Insurance in Russia

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Author Info
Peresetsky , Anatoly () (BOFIT)
Abstract

The paper presents a study of Russian banks' interest rates on household deposits during the formation period of the deposit insurance system. It is shown that market discipline weakened after deposit insurance was effectively in place.

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File URL: http://www.bof.fi/NR/rdonlyres/7798B556-844D-410D-A2C5-25BC453809E3/0/dp1408.pdf
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Publisher Info
Paper provided by Bank of Finland, Institute for Economies in Transition in its series BOFIT Discussion Papers with number 14/2008.

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Length: 21 pages
Date of creation: 02 Oct 2008
Date of revision:
Handle: RePEc:hhs:bofitp:2008_014

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Postal: Bank of Finland, BOFIT, P.O. Box 160, FI-00101 Helsinki, Finland
Phone: + 358 10 831 2268
Fax: + 358 10 831 2294
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Web page: http://www.bof.fi/bofit/
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Related research
Keywords: deposit insurance; market discipline; deposit interest rates;

Find related papers by JEL classification:
G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Mortgages
G28 - Financial Economics - - Financial Institutions and Services - - - Government Policy and Regulation
P37 - Economic Systems - - Socialist Institutions and Their Transitions - - - Legal

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Caprio, Gerard & Honohan, Patrick, 2004. "Can the unsophisticated market provide discipline?," Policy Research Working Paper Series 3364, The World Bank. [Downloadable!]
  2. A. Karas & W. Pyle & K. Schoors, 2007. "Sophisticated Discipline in a Nascent Deposit Market: Evidence from Post-Communist Russia," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 07/450, Ghent University, Faculty of Economics and Business Administration. [Downloadable!]
    Other versions:
  3. Hoggarth, Glenn & Jackson, Patricia & Nier, Erlend, 2005. "Banking crises and the design of safety nets," Journal of Banking & Finance, Elsevier, vol. 29(1), pages 143-159, January. [Downloadable!] (restricted)
  4. Demirguc-Kunt, Asli & Detragiache, Enrica, 2002. "Does deposit insurance increase banking system stability? An empirical investigation," Journal of Monetary Economics, Elsevier, vol. 49(7), pages 1373-1406, October. [Downloadable!] (restricted)
    Other versions:
  5. Demirguc-Kunt, Asli & Huizinga, Harry, 2004. "Market discipline and deposit insurance," Journal of Monetary Economics, Elsevier, vol. 51(2), pages 375-399, March. [Downloadable!] (restricted)
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