Capital Controls and the Icelandic Banking Collapse: An Assessment
This chapter assesses the causes and consequences of the Icelandic banking collapse of 2008. It examines the reasons behind the rapid growth of the banks over the subsequent few years following their privatization, the lack of prudential regulation and the high-risk loan strategy of the banks. These...
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Online Access: | http://hdl.handle.net/10807/99211 https://doi.org/10.1007/978-3-319-41219-1_6 |
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ftunicattolicair:oai:publicatt.unicatt.it:10807/99211 2024-02-11T10:05:08+01:00 Capital Controls and the Icelandic Banking Collapse: An Assessment Mccombie, John Stuart Landreth Spreafico, Marta Mccombie, John Stuart Landreth Spreafico, Marta 2016 http://hdl.handle.net/10807/99211 https://doi.org/10.1007/978-3-319-41219-1_6 eng eng Palgrave Macmillan country:GBR place:London info:eu-repo/semantics/altIdentifier/isbn/978-3-319-41218-4 info:eu-repo/semantics/altIdentifier/wos/WOS:000415306300006 ispartofbook:Financial Liberalisation Past, Present and Future firstpage:225 lastpage:264 numberofpages:40 http://hdl.handle.net/10807/99211 doi:10.1007/978-3-319-41219-1_6 Capital controls Icelandic banking crisis IMF Settore SECS-P/01 - ECONOMIA POLITICA Settore SECS-P/02 - politica economica info:eu-repo/semantics/bookPart 2016 ftunicattolicair https://doi.org/10.1007/978-3-319-41219-1_6 2024-01-23T23:23:57Z This chapter assesses the causes and consequences of the Icelandic banking collapse of 2008. It examines the reasons behind the rapid growth of the banks over the subsequent few years following their privatization, the lack of prudential regulation and the high-risk loan strategy of the banks. These, together with the failure of the Central Bank of Iceland to act as a lender of last resort of foreign currency, made the collapse of the financial system almost inevitable. The IMF was called in and a notable aspect of its rescue package was the imposition of capital controls. This can be seen as the culmination of a secular change of the IMF’s attitude to the regulation of cross-border financial flows. The chapter presents an assessment of how effective this strategy has been. It concludes with a more general discussion of the political economy of capital controls. Book Part Iceland Università Cattolica del Sacro Cuore: PubliCatt 225 264 Cham |
institution |
Open Polar |
collection |
Università Cattolica del Sacro Cuore: PubliCatt |
op_collection_id |
ftunicattolicair |
language |
English |
topic |
Capital controls Icelandic banking crisis IMF Settore SECS-P/01 - ECONOMIA POLITICA Settore SECS-P/02 - politica economica |
spellingShingle |
Capital controls Icelandic banking crisis IMF Settore SECS-P/01 - ECONOMIA POLITICA Settore SECS-P/02 - politica economica Mccombie, John Stuart Landreth Spreafico, Marta Capital Controls and the Icelandic Banking Collapse: An Assessment |
topic_facet |
Capital controls Icelandic banking crisis IMF Settore SECS-P/01 - ECONOMIA POLITICA Settore SECS-P/02 - politica economica |
description |
This chapter assesses the causes and consequences of the Icelandic banking collapse of 2008. It examines the reasons behind the rapid growth of the banks over the subsequent few years following their privatization, the lack of prudential regulation and the high-risk loan strategy of the banks. These, together with the failure of the Central Bank of Iceland to act as a lender of last resort of foreign currency, made the collapse of the financial system almost inevitable. The IMF was called in and a notable aspect of its rescue package was the imposition of capital controls. This can be seen as the culmination of a secular change of the IMF’s attitude to the regulation of cross-border financial flows. The chapter presents an assessment of how effective this strategy has been. It concludes with a more general discussion of the political economy of capital controls. |
author2 |
Mccombie, John Stuart Landreth Spreafico, Marta |
format |
Book Part |
author |
Mccombie, John Stuart Landreth Spreafico, Marta |
author_facet |
Mccombie, John Stuart Landreth Spreafico, Marta |
author_sort |
Mccombie, John Stuart Landreth |
title |
Capital Controls and the Icelandic Banking Collapse: An Assessment |
title_short |
Capital Controls and the Icelandic Banking Collapse: An Assessment |
title_full |
Capital Controls and the Icelandic Banking Collapse: An Assessment |
title_fullStr |
Capital Controls and the Icelandic Banking Collapse: An Assessment |
title_full_unstemmed |
Capital Controls and the Icelandic Banking Collapse: An Assessment |
title_sort |
capital controls and the icelandic banking collapse: an assessment |
publisher |
Palgrave Macmillan |
publishDate |
2016 |
url |
http://hdl.handle.net/10807/99211 https://doi.org/10.1007/978-3-319-41219-1_6 |
genre |
Iceland |
genre_facet |
Iceland |
op_relation |
info:eu-repo/semantics/altIdentifier/isbn/978-3-319-41218-4 info:eu-repo/semantics/altIdentifier/wos/WOS:000415306300006 ispartofbook:Financial Liberalisation Past, Present and Future firstpage:225 lastpage:264 numberofpages:40 http://hdl.handle.net/10807/99211 doi:10.1007/978-3-319-41219-1_6 |
op_doi |
https://doi.org/10.1007/978-3-319-41219-1_6 |
container_start_page |
225 |
op_container_end_page |
264 |
op_publisher_place |
Cham |
_version_ |
1790602021269667840 |