Explain the allegations of “rigging the market” in the recent LIBOR scandal and in that light critically discuss the argument that financial markets are best left to self-regulate using mutually agreed and self-monitored guidelines than for government to intervene with mandatory legislation.
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- Which of the following is a reason for financial regulation? a. To ensure market dominance by strong financial institutions. b. The failure of any financial institution may have a serious negative impact on individuals and economies. c. Banks cannot be trusted. d. To ensure government control of the economy.Role of Central Banks and Moral Hazards How does central bank intervention outweigh the risks of moral hazard?What reforms to the financial system might reduce its exposure to systemic risk?
- 1) comment on banks’ and insurance companies’ behaviour and identify main drivers of their performance (e.g. what does explain European banks’ low profits); 2) identify main source of risk for banks and financial organisations nowadays; 3) comment on benefits and flaws of regulation as well as hypothesise main potential effects of new set of rulesDiscuss with examples why the money markets could be considered arguable as playing complementary roles with the banking and insurance institutions.A. Explain how macro-prudential regulations work to limit systemic risk in the financial system.
- Discuss the following statements: “(1) individual financial institutions will generally haveunimportant effects on market prices or the economy as a whole and (2) serving theirfinancial interests always safeguards stability of the financial system” according to3. To what extent is central bank independence under threat? Are central banks themselves doing enough to safeguard their legitimacy? Discuss with reference to any central bank(s) of your choice. (i need solution and also need atleast two refrences)What is serious regulatory lapses in the system as difficulties in the financial system?
- Governments require some banks to conduct stress tests of their financial situation. What type of financial regulation is this requirement? A. Disclosure requirements B. Assessment of risk management C. Restrictions on competition D. Consumer protectionThe impact of COVID-19 on the efficiency of financial institutions? can you provide recommendations and limitations for the above reseach questionThe whole essence of financial institutions is the prevention of institutional failures? Explain