Chart of the WeekHigher Growth. Lower Crime?
Central America remains one of the world’s most violent regions, where about 4.5 percent of the world’s homicides occur. The region has only about 0.5 percent of the world’s population. […]
How To Deal With Failed Banks
By Deniz Igan
July 3, 2018
Versions in Español, Português
Reforms since the global financial crisis have made bail-ins a credible option and bail-outs less likely (photo: iStock by Getty Images)
During the global financial crisis, policymakers faced a steep trade-off in handling bank failures. Using public funds to rescue failing banks (bail-outs) could weaken market discipline and lead to excessive risk taking—the moral hazard effect. […]