You searched for: Political Geography European Union Remove constraint Political Geography: European Union Publication Year within 5 Years Remove constraint Publication Year: within 5 Years Topic Financial Markets Remove constraint Topic: Financial Markets
- Author: Jenny Preunkert
- Publication Date: 06-2020
- Content Type: Research Paper
- Institution: Max Planck Sciences Po Center on Coping with Instability in Market Societies (MaxPo)
- Abstract: States require money to function and therefore every government has to continuously raise new funds. On the financial markets, governments cannot be sure that auctions of their debt will be sufficiently attractive to financial investors, which is why governments usually enter into cooperative agreements with selected banks. The best known and most widespread form of cooperation is the primary dealer system. Primary dealers are banks that agree to participate regularly in government debt auctions and to act as formalized market makers on government debt markets. The article analyzes European primary dealer systems and asks why banks are willing to participate in these systems. I will show that both domestic and foreign banks use their status as primary dealers to build long-term relationships with one or more European governments and to gain an advantage on the global stage. In Bourdieu’s terms, primary dealer banks use their financial capital to accumulate social and symbolic capital.
- Topic: Debt, Economics, International Political Economy, International Trade and Finance, Financial Markets, Banks, Macroeconomics
- Political Geography: Europe, European Union
- Author: Fabian Zuleeg
- Publication Date: 07-2017
- Content Type: Commentary and Analysis
- Institution: European Policy Centre
- Abstract: How best to support its industry has been a perennial issue for the European Union (EU). The Commission’s approach has been an attempt to mainstream industrial competitiveness across policy areas. But this hardly constitutes an adequate strategic industrial policy. The EU and its members must recognise that current global pressures require a common and forward-looking approach to ensure that European industry can thrive.
- Topic: Financial Markets, Global Political Economy
- Political Geography: European Union
- Author: Renata Karkowska
- Publication Date: 11-2017
- Content Type: Working Paper
- Institution: Center for Social and Economic Research - CASE
- Abstract: The goal of this study is to identify empirically how country-level development, taking into account the financial and macroeconomic environment, affect the risk profiles of the banking sector in Europe. Through a dataset that covers 3,399 European banks spanning the period 1996-2011, and the methodology of panel regression, the empirical findings document the heterogeneity of banking risk determinants. I examine the implications of bank leverage that manifest itself as spreading and growing instability. The study contributes to and combines the different strands of literature and understanding of the importance of the links between the variables. It also contributes to the literature by focusing on a group of countries from Central and Eastern Europe and the Commonwealth of Independent States that have not been studied before. The extended model provides a causal link between risk in the banking sector and the growth of the financial market and macroeconomy. I apply four measures of country-level development that are available in previous studies: share of foreign ownership in the banking sector; the financial freedom index; the real growth rate; and stock market capitalization. Using these measures, I obtain different results which highlight the fact that the effect of macroeconomic and financial development on banking sector risk-taking is ambiguous.
- Topic: Financial Markets, Economic Growth, Banks, Trade Liberalization, Macroeconomics, Trade
- Political Geography: Europe, Eastern Europe, Central Europe, European Union