Should Financial Sector Regulators Be Independent?

Author/Editor:

Marc G Quintyn ; Michael W Taylor

Publication Date:

March 8, 2004

Electronic Access:

Free Full text

Summary:

In nearly every major financial crisis of the past decade-from East Asia to Russia, Turkey, and Latin America-political interference in financial sector regulation helped make a bad situation worse. Political pressures not only weakened financial regulation, but also hindered regulators and supervisors from taking action against troubled banks. This paper investigates why, to fulfill their mandate to preserve financial sector stability, financial sector regulators and supervisors need to be independent-from the financial services industry as well as from the government-as well as accountable.

Series:

Economic Issues No. 32

English

Publication Date:

March 8, 2004

ISBN/ISSN:

9781589063099/1020-5098

Stock No:

EIIEA032

Price:

Free

Format:

Paper

Pages:

18

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