Fifth, shadow banking decreases the charged energy of monetary policy (Estrella, 2002).

Fifth, shadow banking decreases the charged energy of monetary policy (Estrella, 2002).

This might be partially because shadow banking is certainly not managed into the in an identical way as conventional banking institutions, but primarily because securitization insulates banks’ lending activity through the funds obtained through the main bank (Gertchev, 2009). Or in other words, such banks lending that is less in the financing from main banking institutions or regulatory demands on money and much more regarding the wellfunctioning money areas, including shadow banking, and their interest in securitized assets. Meer lezen