Information Disclosure, Market Discipline and the Management of Bank Capital: Evidence from the Chinese Financial Sector

Is there evidence that market forces effectively discipline risk management behaviour within Chinese financial institutions? This study analyses information from a comprehensive sample of Chinese banks over the 1998-2008 period. Market discipline is captured through the impact of four sets of factors namely, market concentration, interbank deposits, information disclosure, and ownership structure. We find some evidence of a market disciplining effect in that: (i) higher (lower) levels of market concentration lead banks to operate with a lower (higher) capital buffer; (ii) joint-equity banks that disclose more information to the public maintain larger capital ratios; (iii) full state ownership reduces the sensitivity of changes in a bank's capital buffer to its level of risk;(iv) banks that release more transparent financial information hold more capital against their non-performing loans. © 2010 Springer Science+Business Media, LLC.

James Anderson's Political Economy--His Influence on Smith and Malthus

James Anderson's powerful critique of Adam Smith's position on the corn export bounty was published in 1777. It focuse d on Smith's proposition that the bounty could not lead to increased corn production because it could not increase corn's real price. Smit h's response to the critique is traced in later editions of Wealth of Nations. While Anderson's critique of Smith influenced Thomas Malthu s's writings from 1803 onwards, his theory of differential rent did n ot influence Malthus at this stage. An examination of the evolution o f Malthus's ideas on rent between 1803 and 1815, however, indicates t hat Malthus knew and used Anderson's work on rent.

Fabricating Economic Development

Much of the literature, regardless of academic discipline, presents the publication of Economic Development in 1958 as analogous to a"big bang" event in the creation of modern Ireland. However, such a "big bang" perspective misrepresents the sophistication of economic debates prior to Whitaker's report as well as distorting the interpretation of subsequent developments. This paper reappraises Irish economic thinking before and after the publication of Economic Development. It is argued that an economically "liberal" approach to Keynesianism, such as that favoured by T. K. Whitaker and George O'Brien, lost out in the 1960s to a more interventionist approach: only later did a more liberal approach to macroeconomic policy triumph. The rival approaches to academic economics were in turn linked to wider debates on the influence of religious authorities on Irish higher education. Academic economists were particularly concerned with preserving their intellectual independence and how a shift to planning would keep decisions on resource allocation out of the reach of conservative political and religious leaders.