Advanced Search
MyIDEAS: Login

Financial Deregulation and Economic Distress: Is There a Future for Financial Co-operatives?

Contents:

Author Info

  • Silvio Goglio
  • Yiorgos Alexopoulos
Registered author(s):

    Abstract

    The last years have witnessed a wide reshaping of the banking scene. According to researchers and authorities, the aftermath of these developments include an increased risk of demarketing of the conventional banking system towards certain customer segmentations and marginal areas and activities. Recently the banking scene has deteriorated, especially at the local level, as the financial crisis increased the scarcity of readily available, sufficient and reliable services. Behind the current crisis seems to be the influential corporate governance of dominant financial institutions, which introduced innovative products that resulted in less transparency and created uncertainty and a lack of trust toward and within the financial system. The present paper argues that this new reality can be thought of as giving new opportunities for financial co-operatives to increase their importance among the market and areas that they historically serve. The paper bases its analysis on the development pattern of the financial co-operatives of Italy and Greece and outlines the critical path that the financial co-operatives should follow in order to provide efficient (and crucial for local development banking) services and products. It is argued that these changes can be exploited only if the financial co-operatives would be able to transform without losing their basic values. Further, this route goes through the development of new strategies and in certain cases of the modernization of their services. The authors also stress and define the risk of failing that might hinder the co-operative movement, as the huge potential of co-operative endeavors are rarely “translated” to gains automatically.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.euricse.eu/sites/euricse.eu/files/db_uploads/documents/1263399893_n297.pdf
    Download Restriction: no

    Bibliographic Info

    Paper provided by Euricse (European Research Institute on Cooperative and Social Enterprises) in its series Euricse Working Papers with number 09001.

    as in new window
    Length:
    Date of creation: 2009
    Date of revision:
    Handle: RePEc:trn:utwpeu:09001

    Contact details of provider:
    Postal: Via S.Giovanni 36 - 38122 Trento (TN)
    Phone: +39 0461 882289
    Fax: +39 0461 882294
    Email:
    Web page: http://www.euricse.eu/
    More information through EDIRC

    Related research

    Keywords: Credit cooperatives; local banks; Greece and Italian financial cooperatives; financial systems; financial crisis;

    Find related papers by JEL classification:

    References

    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.:
    as in new window
    1. Emmons, William R. & Schmid, Frank A., 1998. "Credit unions and the common bond," CFS Working Paper Series 1999/01, Center for Financial Studies (CFS).
    2. William R. Emmons & Frank A. Schmid, 1999. "Wages and risk-taking in occupational credit unions: theory and evidence," Review, Federal Reserve Bank of St. Louis, issue Mar, pages 13-32.
    3. Emilia Bonaccorsi di Patti & Giorgio Gobbi, 2001. "The Effects of Bank Consolidation and Market Entry on Small Business Lending," Temi di discussione (Economic working papers) 404, Bank of Italy, Economic Research and International Relations Area.
    Full references (including those not matched with items on IDEAS)

    Citations

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:trn:utwpeu:09001. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sara Depedri).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.