The Economics of Banking

Wide coverage of di?erent perspectives of banking, the book presents classical microeconomic thoeries of banking, but also covers central banking, ?nancial frictions and banking-macro linkages, banking regulation in theory and practice etc., giving students a rounded picture of the world of banking, and also allowing instructors to design and create their own courses with di?erent emphases A self-contained textbook making "linear" progress through chapters. Banking is all about imperfect market, market failure and frictions, therefore, market friction is the key to making progress throughout the book. Necessary elements from contract theory, game theory, dynamic macroeconomics and mathematical techniques will be provided through boxes and appendices, making the textbook self-contained An up-to-date textbook that presents both state-of-the-art research and the evolving reality, an evidence-based textbook that connects theory and practice.