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Structuring Deposit Insurance in Europe: Some Considerations and a Regulatory Game

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  • Carmine DiNoia

Abstract

The protection of savings and the creation of insurance schemes is becoming a hot topic for the European Union Regulator: incoming Directives seem to state a sort of "financial guarantee scheme model" valid not only for deposit insurance but also for investor compensation schemes in case of failure of investment firms. The author describes the ongoing process, focusing on the recently approved deposit-guarantee scheme Directive which will compel the Member States to redraw their internal regulation; then, using a very simple game, the author studies the effects on the equilibria of different kinds of institutional regulations. The normative results, especially from this last analysis, are not easy to state: however, using also some results of DiNoia (1994a and 1994b), the author ends up with some suggestions on the way of regulating the single DIAs in the EU Member States.

Suggested Citation

  • Carmine DiNoia, 1994. "Structuring Deposit Insurance in Europe: Some Considerations and a Regulatory Game," Center for Financial Institutions Working Papers 94-31, Wharton School Center for Financial Institutions, University of Pennsylvania.
    • Handle: RePEc:wop:pennin:94-31
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    References listed on IDEAS

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    Cited by:

    1. Carmine Di Noia & Giorgio Di Giorgio, 1999. "Should Banking Supervision and Monetary Policy Tasks be Given to Different Agencies?," International Finance, Wiley Blackwell, vol. 2(3), pages 361-378, November.

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