Bank size as a source of competitive advantage of Chinese global systemically important banks Cover Image

Bank size as a source of competitive advantage of Chinese global systemically important banks
Bank size as a source of competitive advantage of Chinese global systemically important banks

Author(s): Magdalena Markiewicz
Subject(s): Politics / Political Sciences, Economy
Published by: Wydawnictwo Uniwersytetu Jagiellońskiego

Summary/Abstract: During the financial crisis in 2007–2009 banks all around the world suffered liquidity problems and were a subject to a system stability testing. The problems of large financial institutions, such as Bear Sterns, Fannie Mae or Freddie Mac, drew attention to the issue of financial liquidity more than ever in 2007. After the collapse of Lehman Brothers a question was raised about the stability and system security of the largest institutions in the financial system. Credit institutions recognised as systemically important, are distinguished by the enormous size of assets, which creates the risk of being too big to fail or too important to fail. The extent of links with other institutions on the market through various market segments makes them also too connected to fail.

  • Issue Year: 2020
  • Issue No: 18
  • Page Range: 30-46
  • Page Count: 17
  • Language: English