Banks As Coordinators of Economic Growth:
This paper formally identifies an important role of banks: Banks competitively internalize production externalities and facilitate economic growth. I formulate a canonical growth model with externalities as a game among consumers, firms, and banks. Banks compete for deposits to seek monopoly profits...
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Format: | Elektronisch E-Book |
Sprache: | English |
Veröffentlicht: |
Washington, D.C
International Monetary Fund
2006
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Schriftenreihe: | IMF Working Papers
Working Paper No. 06/264 |
Online-Zugang: | UBW01 UEI01 LCO01 SBR01 UER01 SBG01 UBG01 FAN01 UBT01 FKE01 UBY01 UBA01 FLA01 UBM01 UPA01 UBR01 FHA01 FNU01 BSB01 TUM01 Volltext |
Zusammenfassung: | This paper formally identifies an important role of banks: Banks competitively internalize production externalities and facilitate economic growth. I formulate a canonical growth model with externalities as a game among consumers, firms, and banks. Banks compete for deposits to seek monopoly profits, including externalities. Using loan contracts that specify price and quantity, banks control firms'' investments. Each bank forms a firm group endogenously and internalizes externalities directly within a firm group and indirectly across firm groups. This unique equilibrium requires a condition that separates competition for sources and uses of funds. I present a realistic institution that satisfies this condition |
Beschreibung: | 1 Online-Ressource (75 p) |
ISBN: | 1451865244 9781451865240 |
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spelling | Ueda, Kenichi Verfasser aut Banks As Coordinators of Economic Growth Ueda, Kenichi Washington, D.C International Monetary Fund 2006 1 Online-Ressource (75 p) txt rdacontent c rdamedia cr rdacarrier IMF Working Papers Working Paper No. 06/264 This paper formally identifies an important role of banks: Banks competitively internalize production externalities and facilitate economic growth. I formulate a canonical growth model with externalities as a game among consumers, firms, and banks. Banks compete for deposits to seek monopoly profits, including externalities. Using loan contracts that specify price and quantity, banks control firms'' investments. Each bank forms a firm group endogenously and internalizes externalities directly within a firm group and indirectly across firm groups. This unique equilibrium requires a condition that separates competition for sources and uses of funds. I present a realistic institution that satisfies this condition Online-Ausg http://elibrary.imf.org/view/IMF001/00650-9781451865240/00650-9781451865240/00650-9781451865240.xml Verlag URL des Erstveröffentlichers Volltext |
spellingShingle | Ueda, Kenichi Banks As Coordinators of Economic Growth |
title | Banks As Coordinators of Economic Growth |
title_auth | Banks As Coordinators of Economic Growth |
title_exact_search | Banks As Coordinators of Economic Growth |
title_exact_search_txtP | Banks As Coordinators of Economic Growth |
title_full | Banks As Coordinators of Economic Growth Ueda, Kenichi |
title_fullStr | Banks As Coordinators of Economic Growth Ueda, Kenichi |
title_full_unstemmed | Banks As Coordinators of Economic Growth Ueda, Kenichi |
title_short | Banks As Coordinators of Economic Growth |
title_sort | banks as coordinators of economic growth |
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