For governments intervening to bail out banks, finding the right balance between efficiency gains, the preservation of national sovereignty, and optimal international cooperation remains a challenging task

摘要

In a world of financial globalisation, foreign investors benefit from bank bailouts in response to a crisis. Research by Friederike Niepmann and Tim Schmidt-Eisenlohr explores the incentives for governments to act in these circumstances – and the role of international cooperation over financial regulation and crisis management.