Financial deregulation in Indonesia and the continuing policy issues
In many countries, different degrees of banking instability occurred following a complete financial deregulation, although the reasons for the instability varied. It was widely recognised that macroeconomic instability was responsible for the failure of financial deregulation in several countries. Another important reason for banking instability was the moral hazard problem that emerged after financial deregulation. Under central bank guarantees of bank deposits, the complete removal of...[Show more]
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