Handbook of Safeguarding Global Financial Stability

Chapter 26

Resolution of Banking Crises

L. Laeven and F. Valencia

Research Department of the International Monetary Fund, CEPR, Westminster, England, UK

Research Department of the International Monetary Fund, Westminster, England, UK

Introduction

The 2007–09 Global Crisis: A Synopsis

Which Countries Had a Systemic Banking Crisis in 2007–09?

Policy Responses in the 2007–09 Crises: What Is New?

How Costly Are the 2007–09 Systemic Banking Crises?

Concluding Remarks

Appendix

Glossary

Acknowledgment

References

Introduction

Systemic banking crises are disruptive events not only to financial systems but to the economy as a whole. There is a large literature on the real effects of banking crises providing empirical support to this claim (e.g., Dell’Ariccia ...