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date: 20 February 2020

(p. 513) Index

(p. 513) Index

Tables and figures are indicated by an italic t, and f, following the page number.

A. Schaaffhausen 146
AB Industrikredit 442
ABN AMRO 126
acceptances 93, 97, 223–4, 233–5, 305, 306
Afghanistan 68
Alexandria 302
American Express 168
American International Company (AIC) 170
Amsterdam
bills of exchange 90
financial centre 134, 294–6, 298, 305–6
foreign loans 90
investment banks 143–4
money markets 221
private banks 91
securities markets 248, 249
stock exchange 143
stock market 52
transnational banks 302
anti-Semitism 102
Antwerp
financial centre 298
money markets 220
securities markets 248
arbitrage, securities markets 246–7
Argentina
avoidance of default 490, 491
capital imports 302
debt default 273, 490, 492
debt service 283
financial crisis 1890 502
use of ROSCAs 196
ASEAN 180, 376
Asia
avoidance of default 492
Citibank in 182
credit cooperatives 201
cross-border bank mergers 180
Deutsche Bank 167–8
ending of financial repression 76
financial crisis 1997–98 67, 405, 407, 475, 496
international capital flows 273
multinational banks 179
regional monetary integration 376
Asian Financial Crisis 1997–98 405, 407, 496
asset bubbles
causes of 52–3
central banks 350
asset prices
causes of reversals 52–3
and financial economics 43, 47–8, 50
use of historical 50–1
Association Belge des Banques 126
austerity 464–5, 472, 477
Australia
banking regulation and supervision 407–8
capital imports 302
intra-bank activity 184
Austria
banking code 449
credit cooperatives 200
currency crises 469
investment banks 148
postal savings systems 198
Automated Quotations System (AQ) see Nasdaq
Bagehot, Walter 352
Balladur, Edouard 380
Banca Commerciale Italiana (the Comit) 149
Banca Generale (BG) 148
(p. 514) bancassurance 126
Banco di Credito 429
Banco di San Giorgio 366
Banco do Brasil 159
Banco Latino 68
bank acceptances see acceptances
Bank Act 1844 (UK) 367
bank branches 73, 113, 119, 167–8, 173, 398, 448
bank capital
banking crises 444–5
regulation 158
bank clearinghouse associations 65
Bank deutscher Länder 309, 355
bank failures 245, 397–8
Bank for International Settlements (BIS) 179, 360–1, 364, 383, 412 see also Basel
Bank für Handel und Industrie see Darmstädter und Nationalbank (Danatbank)
Bank Holding Company Act 1956 (US) 155
Bank of America 159, 181, 312
Bank of Belgium (Banque de Belgique) 117, 142–3
Bank of China 181
Bank of Communications 402, 404
Bank of Credit and Commerce International (BCCI) 413
Bank of England
banking regulation and supervision 408–9
cooperation 368, 369
currency crises 466, 472
financial crises 273
inland bills policy 221–2
international cooperation 366–9
lender of last resort 225–9, 297
nationalization of 359, 373
note-issuing powers 397
oldest central bank 354, 355
relations with government 358–9
role and behaviour 351–2, 366, 367
Bank of France (Banque de France)
central bank 355, 367, 373
cooperation 368, 369
financial centres 300, 305
investment banks 144
nationalization 102, 373
number of employees 345
private banks 93, 100
Bank of Japan 123, 149, 355, 367, 401
Bank of Japan Act 1942 355
Bank of London and the River Plate 299
Bank of Mexico 376
Bank of the Manhattan Company 151
bank regulation 395–6, 415–16
agencies 400t
banking laws 118, 122, 306, 403, 449, 455
banking crises 443, 449–50
bias 79–80
complexity 81
development of regulatory regimes 397–409
fear and greed as reasons for 443–5
financial lockdown post Second World War 449–50
financial repression 76
international 409–15, 414t
rationale 396–7
supervision framework 406t
bank supervision see bank regulation
bank-based systems
vs market-based systems 112–16, 120 see also banking systems
universal banks 110
bankers’ balances, institutionalised market for 230–1
Bankers Industrial Development Company 429
Bankers Trust 125, 168, 181
Banking Act 1933 (US) (Glass-Steagall Act)
multinational banking 170
regulatory complexity 81
repeal 104, 124–5, 310
separation of commercial and investment banking 103, 120, 155, 254, 306
unravelling 157
Banking Act 1934 (Switzerland) 121
Banking Act 1979 (UK) 408
Banking Co-partnership Act 1826 (UK) 398
(p. 515) banking crises 12, 439 see also financial crises
1970s 411–12
balance sheets 443–5
bank assets 443
bank failures 245, 397–8
bank liabilities 444
before First World War 445–7
costs 441–3
definitions and data 440–1
deregulation and the re-emergence of 450–5
interwar period 447–8
post Second World War 449–50
reasons for 443–5
subprime and European sovereign debt crisis 455–6
banking structures 448
banking systems see also bank-based systems; market-based systems
costs of banking crises 443
divergence in interwar period 120–4
diversification 72–4
Banque de Belgique see Bank of Belgium
Banque de France see Bank of France
Banque de l'Indochine 168
Banque de Paris et des Pays-Bas (Paribas) 99, 117, 144–5, 300
Banque Française d'Acceptations 305
Banque National de Paris 122
Banques populaires 430
banquiers 91
Barclays Bank
established 89
history of 25
multinational bank 177
one of Big Five 113
private bank 99
universal bank 126
Baring Brothers
1890 crisis 229, 273, 353, 368, 406, 490, 497, 502
acceptances 93
dominance 91, 92
investment bank 135, 140
multinational bank 166
Basel 373
Basel Committee on Banking Supervision 383, 412–15
Basel I 415
Basel II 384, 415
Basel III 384
Bear Stearns 67, 158
behavioural finance, and financial economics 44, 49
Belgium
19th century 117
20th century 121, 126–7
Bank of Belgium (Banque de Belgique) 117, 142–3
banking code 449
bimetallic monetary system 328–9
capital exports 299
credit cooperatives 200
investment banks 142–3
postal savings systems 198
universal banks 155, 306
Berlin
19th century 115
financial centre 294, 295, 298, 300, 305, 309
stock exchange 147, 300
transnational banks 302
Bernanke, Ben 372, 388
bias, in financial regulation 79–80
Big Bang Legislation (Japan) 125, 126
Big Bang (UK) 156, 178, 310
bilateral trade, following sovereign default 501
bill brokers 90, 222, 223, 225–8, 297
bills of exchange
acceptance 90
Amsterdam 90
innovation 79, 219–21
London 93, 221–4, 297, 299
Paris 297
bimetallic monetary regimes 322, 326–7, 330
Bitcoin 338–9
Black-Scholes-Merton formula 54
Blunden, George 383, 412
BNC bank 306
Bolivia 283
Bombay
financial centre 294
transnational banks 302
(p. 516) bondholders
corporations 488–9
sovereign defaults 487–9
bonds
default 281–3, 283t
fixed-income 118
government 242
initial public offering (IPO) 243–4
purpose 242–3
trading 252–3
transnational banks 255
bookkeeping, double-entry 69
‘boom-bust’ see macroeconomic fluctuations
borrowing costs, sovereign defaults 501
bottomry loans 70
Brandt, Willy 378
Brazil
avoidance of default 490
capital imports 302
debt restructure 490, 491
investment banks 159
sovereign debt defaults 273, 492
Bretton Woods system see also International Monetary Fund (IMF)
agreement 283
banking crises 452
capital mobility 268
central banks and 374–5
currency crises 472–3
end of 124, 174–5, 177, 337
Britain
20th century 122–3
capital exports 264–5, 274–6, 275t, 299
currency crises 471–2, 474
economic dominance 299
emergence of gold standard 327
EMS 474
financial centre 308
first industrial nation 465–6
First World War 304
foreign investments 274–6, 275t
Great Depression 306
international capital flows 280–1
joint-stock banks 166–7
multinational banking 166–7, 177–9
net capital flows 275t
private banks 89, 97–8, 104
public debt 423, 424
secondary banking crisis 1974 349
state direct financing 429
tax system 422
British Empire, branches of British banks 167
Brooks, Samuel 94
Bruges, securities markets 248
Brüning, Heinrich 469–71
Brussels
financial centre 294, 298, 301
stock exchange 143
transnational banks 302
Brussels International Financial Conference 370–1
BTG Pactual 159
Buenos Aires
financial centre 294
transnational banks 302
building associations 202–3, 208–9
building societies 202–3
Bulgaria 198
Bundesbank (German central bank) 309, 345, 355–6, 377–9, 380, 382, 474
Bush, George W. 455
business groups (keiretsu) 123
business history 19, 25–6
Cairo 302
Caisse de la Dette Ottomane 279
Caisse des dépots et consignations 429
Caisse nationale d'épargne 429
Caixa Economica Federal 159
Caixa Geral de Depositos 430
Calcutta, transnational banks 302
call loan market 222–3, 231
Canada
bank branches 448
capital imports 302
central bank 373–4
diversification of banks 73
intra-bank activity 184
capital adequacy measurement 413–15, 414t
capital asset pricing model (CAPM) 43
capital controls, as financial repression policy 75
capital exports
19th century 274–6
(p. 517) 20th century 280–1, 281t, 284t
financial globalization 298–9
and financial history 21
rivalry between London and Paris 298
trends in 264–5
UK and US 281t
capital flows, international see international capital flows
capital markets
analysis of sovereign defaults 483–6
debtors’ survival in boom and bust cycles 489–92
defaulters’ exclusion from 486–9
distortions and sovereign defaults 492–9
features of modern 54
market and political sanctions 500–3
public debt 422–5
sovereign defaults 12–13, 481–3, 503–4
sovereign defaults institutional setting 486–9
capital mobility
IMF and 284
macroeconomic trilemma 267–8
trends 264–5, 265t, 266t
capital structure theories 53
capital transfers, financial globalization 298
‘casino capitalism’ 245
Central America 278
central banks 342, 361
21st century 26
banker relationships 371–2
Bretton Woods cooperation 374–5
co-operation 360–1
definition and functions 342–4
discursive co-operation 364, 367, 374
financial stability cooperation 383–5
historical development 344–6
independence 357–60, 381, 381f
influence over markets 365–6
international cooperation 10, 364–6, 389–91
interwar cooperation 369–74
lenders of last resort 217–18, 384–5
main banks 354–6
post 2007–08 crisis cooperation 385–9
pre 1914 cooperation 366–8
regional monetary cooperation 376–83
role and behaviour 350–4
supervision/regulation 9–10, 356–7, 407
swaps 361, 375, 385, 386f, 387f
theoretical frameworks 346–50
Central Europe
financial markets crash 1870s 273
multinational banking 179
Centre for Latin American Monetary Studies (CEMLA) 376
Chase Manhattan Bank 125, 170
Chemical Bank 151
Chiang Mai Initiative 376
Chile
debt default 273, 283
gold standard 277
regional monetary integration 376
China, People’s Republic of
banking regulation 401, 402–4
banking system 401, 402–4
capital imports 302
credit cooperatives 201
cross-border bank mergers 180
export-led strategy 478
financial intervention 278
foreign banks 405t
multinational banking 181
nationalization 428
state banks 78
China Agricultural Development Bank 403
China Banking Regulatory Commission (CBRC) 404
China Development Bank 403
China Import and Export Bank 403
Chinese Construction Bank Corp. (CCBC) 181
Citibank
investment bank 159
mergers 125
transnational banking 182–3
Citicorp 125
Citigroup 181
City of Glasgow Bank 398, 441, 442
City of London
influence on British government 432
international financial centre 299, 466
private banks 89, 97–8, 101, 103–4
Civil War (US) currency crisis 467–8
(p. 518) C.J.Hambro, Sons & Co. see Hambros
clearing banks, in London 299
cliometrics 31
coalition, based on reputational mechanism 63–6
Coase theorem 421
coinage, use of in Europe 324–7
Cologne 95
Colombia
avoidance of default 492
debt default 273
first Latin American bond 1820s 273
regional monetary integration 376
colonial banking, Britain 167
Commercial Bank Law 1995 (China) 403
commercial banks 5, 103, 110–12, 128–9
19th century (England, US, Germany, Japan) 112–16
19th century (other continental countries) 116–20
20th century (resurgence of universal banks) 124–8
conflicts of interest 497
industrialization 128
interwar period (divergence) 120–4
split from investment banking 154–5, 399
commercial finance, London 93
commercial paper 230, 233, 234
Commerzbank 126, 183, 306
Committee of Central Bank Governors 378–9, 382
commodity exchanges 253, 299
Commodity Futures Trading Act 1974 (US) 256
Commodity Futures Trading Commission (CFTC) 256
Common Market 1958 309
Commonwealth Bank of Australia 449
communications improvements
development of stock exchanges 250–1
financial globalization 298
securities markets 255
companies
development in Italy 69–70
registration mechanisms 397
Companies Act 1862 (UK) 140
Companies Act 1879 (UK) 398
company promoters 141
compensation systems 67
competitiveness, small-scale credit institutions 204–10
Comptoir d'Escompte de Paris 116, 122, 406
Comptoir National d'Escompte de Paris (CNEP) 145, 171, 300
computer technology see technology
conflicts of interest, sovereign debt markets 496–9
‘conspiracy theory,’ and financial history 22
Constantinople 302
control, separated from ownership 53
Cooke & Co. see Jay Cooke & Co.
co-operative banks 127, 430
Cooperative Law 1900 (Japan) 201
corporate finance
and financial economics 42–3
private banks 103
theory 47
corporate governance
and financial economics 44, 48, 53
investment banks involvement 138–9
regulations targeting 155–6
corporate stock, merchant banks 135
Corporation of Foreign Bondholders 488–9
correspondent bank system 230–2
Council of Central Bank Governors 377–8
country banks
banking crises 232
commercial 113
money markets 221–4, 227
private 88, 90
country risk perception 276–9
courants (courses of exchange) 221
Coutts & Co. 89
Crédit Agricole 177
Credit Anstalt 148, 469
credit cooperatives 196, 198–201, 205
Crédit Foncier 428
credit institutions
historiography 193–4
small-scale 6, 191–2, 210–11
socio-political perspectives 207–10
state direct financing 430–1
varieties 194–203
credit limits on banks 75–6
Crédit Lyonnais (CL) 25, 116, 122, 145, 168, 300
Crédit Mobilier 116, 117, 145
Crédit national 429
Credit Office (Russia) 427
credit programmes, directed 75
credit rating agencies 64–6
conflicts of interest 497–8
sovereign debt markets 503
Crédit Suisse of Zurich (CS) 119, 121, 148, 159
credit unions 200
Credito Italiano 149
Credito Mobiliare Italiano 148
creditors, responsibility for sovereign defaults 483
'Crime of 1873' (Coinage Act, USA) 329
'Cross of Gold' speech 1896 329
cross-border banking see multinational banks
Cuba 376
currency coordination, failure 389
currency crises 12, 461
Asian Tigers 475
current events 475–8
historical narrative 465–75
Swan diagram 461–5
currency markets 443
current accounts 115
Eurozone balances 476f
Czechoslovakia 375
Daqing Bank 401
dark pools trading venues 257
Darmstädter und Nationalbank (Danatbank) 115, 145, 300, 470
Dawes Plan 1924 171, 280
debasement 323, 326
debt instruments, investment banks 136
debt-deflation spiral 446
default forecasting 485–6
Delors, Jacques 380, 382
Delors Report 381
Demachy Bank 102
demand liabilities, banking crises 442, 444
Deng Xiaoping 402
Denmark
19th century 119
20th century 122, 210
banking code 449
credit cooperatives 200
savings banks 198, 210
deposit insurance system, US banking crises 453
deposits, banking crises 444
depreciation 323
derivatives 252–3, 255
Deutsch-Asiatische Bank 168
Deutsche Bank
commercial bank 115, 126
Great Depression 306
multinational bank 167–8, 171
private bank 98, 99
transnational bank 183
universal bank 146, 147, 158, 300
in the US 25, 181
Deutsche Bundesbank see Bundesbank (German central bank)
Deutsche Mark 175, 367, 377
Deutsche Uebersee-Bank 167
devaluation of currency 465
developing countries, financial repression 77
Development Bank of Singapore 312
digitisation, of data for study 46–7
diplomacy, public debt 425–6
direct credit limits, on banks 75–6
directed credit programmes 75, 77
Discontogesellschaft 300
discount houses 223, 226–8, 297
dividends
and financial economics 47
policy theories 53
divisibility of securities 241, 242–3
Dodd-Frank Act 2010 (US) 81, 158
Dollar (US)
acceptances 233–4
avoidance of currency crisis 472
Bretton Woods system 336
late 20th C 379–80
main reserve currency 307
domestic production, Swan Diagram 462–5, 463f
Dondelinger, Albert 383, 410
(p. 520) double liability of shareholders 441
double-entry bookkeeping 69
Draghi, Mario 372
Dresdner Bank 115, 126, 300, 306
Dutch Republic
financial revolution 71
investment banks 143–4
'watchtower' theory of banking 73
East India Company 135
Eastern Europe, sovereign defaults 491
economic development
commercial banks 112
and financial history 3–4, 62–3, 81–2
international capital flows 285–7
led by finance 69–72
promises and pillars of finance 63–72
retarded by finance 72–81
role of the state 421–2
economic history 19–21, 23–4, 26–7
Economic History Review 45–6, 46t, 51, 51t
'ECU' European currency unit 337
Ecuador 376
Edge Act 1919 (US) 170
efficient markets hypothesis 47
Egypt
debt default 273
financial intervention 278–9
foreign lending to 495
emerging economies, investment banking 159
emerging market finance 277
England
19th century 113
20th century 122–3, 126
bank regulation 397–8
banking crises 446
financial conglomerates 156
financial revolution 71
gold and silver coinage stability 326
investment banks 139–41
lingering recession 1840s 466–7
market-based system 111
money markets 221–4
stock exchange 141
entry restrictions, bank 75
equity finance, investment banks 136
equity premium measurement 52
equity risk premium 52
Estonia, avoidance of default 490, 491
EU Banking Union 396, 411
euro 337, 338, 475–7
crisis 388, 391
Eurobond market 308
Euro-credits 308, 312
Eurodeposits 175
Eurodollar market 308
Euromarkets 103, 308
Euronext 257, 311
Europe see also European Economic Community (EEC); European Union
capital exports 274–6
Citibank in 182
competitive advantage of local knowledge 206
cross-border bank mergers 180
currency crises 474–8
foreign loans 90
foreign public debt 423–4
international capital flows 273, 280
international money markets 219–21
interwar banking crises 447–8
investment banks 142
monetary integration 376–83, 410–11
monetary systems 324–7
multinational banking 172–3, 179
politics of 1920s 468
private banks 90, 98, 99
public banks 429
public debt to GNP ratio 423
rise of the euro 337
savings banks 208
Single Market 124
state finance 92, 429
subprime crisis 456
universal banking 126
European American Bank (EAB) 173
European Association for Banking and Financial History (EABH) 18
European Central Bank (ECB)
banking union 411
formation 337, 345, 354–5, 376–9
loans 477
principles 359
role 382
(p. 521) European Commission 158, 382
European Economic Community (EEC) 376–9, 409–11
European Monetary Arrangements 335–6
European Monetary System (EMS) 337, 474–5
European Monetary Union (EMU) 475–7
European Payments Union 375
European System of Central Banks (ECSB) 376
European Union
banking regulation and supervision 411
capital mobility 284
Second Banking Directive 1989 126
state and finance 434
Eurozone 475, 477, 478 see also euro
crisis 411, 456, 475–8
current account balances 476f
exchange market intervention 379–80
Exchange Rate Mechanism 474–5
exchange rates 389
abandonment of gold standard 334
central bank cooperation 390–1
central banks 367–8, 370–1
Europe post-Bretton Woods 379–80
industrial production 335f
relationship with price stability 365
Swan Diagram 462–5, 463f
executive pay 53, 67
Executives' Meetings of East Asian and Pacific Central Banks (EMEAP) 376
extended liability of shareholders 441
external balance 462–5
external fiscal control, sovereign defaults 500–1
'External Wealth of Nations' database 284–5
family networks 88, 104
Far East, capital issues 1920s 281
fear
banking crises 444, 448
of default 502–3
Federal Deposit Insurance Corporation (FDIC) 399, 400t, 442
Federal Reserve Act 1913 (US) 168, 234, 305
Federal Reserve Bank of New York 308
Federal Reserve Board 80
Federal Reserve System
currency crises 472
establishment 233–6, 399
foundation 354–5, 359
number of employees 345
Feldstein-Horioka test 264–5, 266t
fermiers généraux (tax farmers) 91
fiat money 331, 332, 348
'fictitious bills' 226
finance
alleviating inequality 69
concept of good and bad 68–9
and growth 66–72
leading development 69–72
regulation of 78–81
retarding development 72–81
finance companies 140
financial centres
1815–70 (emergence of modern) 296–8
1870–1914 (globalization) 298–304
1914–45 (wars and depression) 304–7
1945–80 (regulation) 307–9
1980–2008 (globalization and deregulation) 309–13
definition 8
financial crisis 2007–09 313–14
history of 26
international 293–6, 313–14
transnational banks 303t
Financial Conduct Authority (FCA) (UK) 409
financial conglomerates 127–8, 156–7, 158–9, 407–8
financial crises 11–13, 380 see also banking crises; currency crises; sovereign defaults
1825 222, 225, 273, 297, 351–2, 397
1837 231
1847 228
1857 224, 226, 227, 232, 398
1866 226, 227–8
1873 232–3, 367, 382, 447
1890 229, 273, 353, 368, 406, 490, 497, 502
1907 155, 233
capital inflows 286–7
central bank cooperation 391
definition 349, 440–1
and financial history 28–9
and growth 67–9
international banking 447
lender of last resort 384
liquidity 245
policy response to 81
quest for financial stability 232–6
Savings and Loan crisis (US) 67–8, 349
sovereign debt 415, 483–5
stock market crash 1987 380
too small to survive 72–4
US Civil War currency crisis 467–8
financial crisis 2007–09
bank regulation 395
central banks cooperation 385–9, 391
and financial history 1, 24, 27–8
financial regulation 80
financial systems 67
impact on regulation 158–9
international financial centres 313–14
looting 68
money markets 218
securities markets 258
securities trading 255
state and finance 433–4
subprime crisis 455–6
financial deregulation
20th century 124–7
banking crises 450–5
international financial centres 310
reducing racial discrimination 69
financial derivatives 178–9
financial economics
contribution of financial history to 51–5
and financial history 3, 24, 41–2, 55
history of 42–4
use in financial history 44–51
financial globalization 124
financial history
21st century 25–9
1970s–1990s 18–23
1990s onwards 23–5
contribution to financial economics 51–5
discipline of 17–18, 29–31
and economic development 62–3, 81–2
and financial economics 41–2
interest in 1–2
late 20th early 21st century challenges and opportunities 23–5
thematic issues 2–4
use of financial economics in 44–51
Financial History Review 18, 44–5, 45t
'financial instability hypothesis' 69
financial institutions 4–6
financial liberalization, capital mobility 283–5
financial regulation 8–11, 78–81 see also bank regulation; central banks; international cooperation; monetary systems; state and finance
21st century 28
1920s to 1980s (investment banks) 154–6
1980s to 2007 (universal banks) 156–7
2007–08 and beyond 158–9
to avert sovereign defaults 492–3
central banks 356–7
commercial banks 111, 128
financial markets 62–3
investment banks 138, 154–9
multinational banks 176–7
securities markets 252–3, 255, 256–8, 259–60
shadow banking 185
financial repression, of banks 74–8
financial revolution 70–1
Financial Services Act 1986 see Big Bang (UK)
Financial Services Act 2012 (UK) 409
Financial Services Authority (FSA) 408–9
financial stability
central bank cooperation 382, 383–5, 391
central banks 348–51, 370
conflict with monetary stability 407
creation of central banks 367
risk from capital inflows 286
role of central bank 344
(p. 523) Financial Stability Board (FSB) 396
'financialization' 28
Finland
19th century 119
20th century 123
banking regulation 454
costs of banking crises 442–3
postal savings systems 198
First Bank of the United States 366–7
First National Bank (Dai-Ichi Kokuritsu Ginko) 150
First National Bank of New York 152
First World War
central banks 346, 368, 369
currency crises 468
gold standard 332–3
impact on global financial system 154
international capital flows 304
international financial centres 304–5
multinational banking 169
stock exchanges 251
Fisher, Irving 445–6
floating exchange rates 325, 338
Florence
double-entry bookkeeping 69
securities markets 248
foreign banks
diversification 74
in London 308–9, 310
in New York 310
foreign direct investment (FDI), 19th century 274
foreign exchange
global reserves 285
market intervention 379–80
trading 175–6
foreign investment stocks, international capital flows 265–7
foreign investments
financial globalization 298–9
and financial history 21, 27
global 284t
UK and US 281t
foreign loans
Amsterdam 90
private banks 92, 98
foreign public debt, Europe 423–4
Fortis 126
franc (French) 305
France
19th century 116–17
20th century 122, 126
banking code 449
banks and politics 432–3
bimetallic monetary system 328–9
capital exports 275–6, 299
credit cooperatives 200
currency interwar period 305, 469
deposit banks 116–17
First World War 304
Great Depression 306
impact on financing of public borrowing 424
increase in public debt 424
indemnity loans 92
intra-bank activity 184
investment banks 144–6
multinational banking 168
nationalization 427–8, 431
postal savings systems 198
private banks 93, 98, 100, 102
public banks 428
public debt 423
refusal to deflate 468
return to gold standard 1925 333
savings banks 429–30
state direct financing 426–7, 428
state intervention 434
Frankfurt, financial centre 293, 294, 295, 298, 309, 311
Franklin National Bank 452–3
French American Banking Corporation (FABC) 171
Friedman, Milton 358
Friedman positivism test 43
friendly societies 202
Fuggers family of Augsburg 135
funding liquidity 217, 218
futures, regulation 256
Fuyo Group 125
G-7 379, 380
G-10 364, 375, 378, 383, 412
General Credit and Finance Company 140–1
(p. 524) General Motors 428
General Strike 1926 468
Geneva
financial centre 298, 311
private banks 105
role in international trade 148
Genoa, securities markets 248
Genscher, Hans Dietrich 380
geographic patterns of international capital flows 268–71, 269t, 270t
George Peabody & Co. 93 see also Morgan Grenfell & Co.
German Bundesbank see Bundesbank (German central bank)
German Empire, public debt 423
Germany
19th century 114–15
20th century 121, 126
bank-based system 110–11
banking code 449
banking regulation 397, 449
banks 65
banks and politics 433
bonds in default 281
capital exports 275, 299
capital imports 305
central bank cooperation 377–82
central banks 309, 345, 355-6, 367, 370, 377–9, 380, 382, 474, 469–71
commercial banks 112
commercialization of debt 360
competitive advantage of local knowledge 206–7
corporate governance 156
costs of banking crises 442
credit banks 98
credit cooperatives 199–200, 205
currency crises 469–71
currency interwar period 469
current account balance 476f
European monetary union 380
exchange rate system 370
First World War 304
gold standard 329, 333
Great Depression 306
hyperinflation 333, 468
industrial finance 96
intra-bank activity 184
investment banks 146–8
multinational banking 167–8
nationalization 431
private banks 96, 98, 100–1, 102, 104
public debt 424
railways companies 95
reunification 474
savings banks 197, 198, 430
state direct financing 425
stock exchange 147
stock market boom 53
universal banks 306
US capital flows 281
GIPS (Greece, Italy, Portugal, Spain), current account balance 476f
Giscard d'Estaing, Valéry 378
global financial crisis 2007–09 see financial crisis 2007–09
global foreign investment 284–5, 284t
global history, and financial history 27
global securities markets 248, 251
globalization
financial 124
financial centres 298–304, 310
investment banks 158–9
Glyn, George Carr 94
Glyn, Mills and Co. Bank 89, 94, 97
Gold Delegation 1928 468
Gold Pool 336, 361, 375
gold reserves 468–9
gold standard 327–31
capital mobility 267–8
central banks 345–6, 367–8
classical 329–30, 330t
country risk perception 277
crisis 471–3
'Cross of Gold' speech 1896 329
currency crises 468
emergence 327–8
end of 331–4
good housekeeping seal of approval 330–1
Latin Monetary Union 328–9
monetary stability 348
Gold Standard Act 1900 (US) 329
(p. 525) Goldman Sachs 151–2, 158, 159, 181
government banks, central banks as 344, 345, 358
government bonds 70–1, 135–6, 242, 251
government guarantees, transnational banking 185
government intervention 251, 388
governments
and central banks 358–9
costs of banking crises 442
financial cooperation between 374
Gramm-Leach-Bliley Act 1999 (US) 124, 157
Grayson, Alan 387–8
Great Depression
19th century 490
bonds in default 281–3
causes 447–8
central banks 346
currency crises 469
depositors' losses in US 442
gold standard 333
international financial centres 306
monetary systems 334
sovereign defaults 491
US bank regulation 399
Great Recession see financial crisis 2007–09
Greece
debt default 273, 490
euro 476
European Monetary Union (EMU) 475
financial intervention 279
rating 485–6
sovereign debt 483
greed, banking crises 444
Gresham, Thomas 322
Gresham's law 322–3, 326–7
gross capital flows, measurement 263
growth, and finance 66–72
Guatemala 376
Gulf Cooperation Council 376
Gulf States (Arab), regional monetary integration 376
Haas cooperatives 199
Hambro, Carl Joachim 93
Hambros 93, 140, 297, 299
Hamburg, financial centre 298
Hamilton, Alexander 71–2, 366
Hausbank system 115, 123
haute banque
dominance 98, 116
foreign loans 94
merchant banks 144
private banks 91, 92
railways companies 95
taken over 104
weakening 102
hedge funds 177
Hellenic Corporation 429
Herstatt Bank 348–9, 383, 411, 412, 452
High Frequency Trading 256
high liquidity episodes, sovereign debt 494–6
high reserve requirements, as financial repression policy 75
high risk lending, avoidance 493–4
high yields, sovereign debt markets 493
high-income countries, ending of financial repression 76
HM Treasury 408–9
Hobson thesis 277
holdouts, for sovereign defaults 487
Holland, public debt 423
Holtrop, Marius 376–7
Honduras 376
Hong Kong
financial centre 293, 294, 295, 312–13
transnational banks 302
Hong Kong and Shanghai Banking Corporation (HSBC) 166, 177, 181, 299, 312, 404
Hope & Co. 90, 92
Hungary, postal savings systems 198
hyperinflation, in Germany 333, 468
Iceland
financial crisis 2008 67
intra-bank activity 184
illiquidity, in early markets 50
IMI (Istituto Mobiliari Italiano) 442
Imperial Bank of China (IBC) 401
incentives
bad 68
importance of in financial history 63–6
income growth, finance contributing to 69
(p. 526) independence, central banks 357–60, 381, 381f
India
capital imports 302
credit cooperatives 201
multinational banking 179–80
use of ROSCAs 196
Indonesia, currency crises 475
Industrial and Commercial Bank of China (ICBC) 181
industrial finance
and financial history 20
private banks in Germany 98
Rhenish bankers 96
state direct 430–1
industrial production
exchange rates 335f
gold standard 334
industrial revolution, following financial revolution 71
industrialization
commercial banks 112–13, 128
demand for long-term capital 139–40, 142
joint-stock banks 116–20
inequality, finance alleviating 69
inflation
1970s 473
central banks 359
targeting regimes 338
information
importance of 63–6
lack of in sovereign debt crisis 485
information asymmetries
in banking 396
high risk lending 494
obstacle for international investors 497
role in competitiveness of small-scale credit institutions 204–6
information technology, and financial history 24
infrastructure projects, foreign investments 274
ING Group 126
initial public offering (IPO)
need for intermediaries 243–4
pricing 52
inland bills, England 221–4
institutional investors, stock exchanges 253
instrumental co-operation, central banks 364
insurance services 126
Intercontinental Exchange (ICE) 257
interest rates
ceilings on 75
deregulation 451
international capital flows 276
regulation 449–50
internal balance 462–5
International Acceptance Bank (IAB) 171
International Bank for Reconstruction and Development (IBRD) 335
International Banking Corporation (IBC) 168, 170
international banking regulation 409–15
international capital flows 8, 262–3
19th century 272–9
20th century 279–85
economic effects 285–7
international financial centres 310
interwar period 280–3
long-run trends 263–72, 265t, 266t, 269t, 270t, 271f, 281t, 282t
rich-poor 269t, 270t, 271f, 271–2
International Center for Finance at Yale University 47
international cooperation
Bretton Woods 374–5
central banks 10, 360–1, 364–6, 385–91
central banks financial stability 383–5
between governments 374
interwar central banks 369–74
pre 1914 central banks 366–8
regional central bank 376–83
international finance
and financial history 27
Germany 98
private banks 97–8, 101
international financial centres see financial centres
international financial institutions, supporting sovereign debt markets 499
International Financial Society 140–1
international history, and financial history 21
international investment
from Britain 275t
geographic patterns 268–71, 269t, 270t
(p. 527) from rich to poor economies 271f
from UK and US 281t
from US 282t
International Monetary Fund (IMF)
banking regulation 413–15
capital mobility 284
collaboration 364
establishment 335, 374–5
lender of last resort 384
supporting sovereign debt markets 499
International Organization of Securities Commissions 256
international payments, Swan Diagram 462–4, 463f
international trade
decline following sovereign default 501
financed by private banks 93
internet banking 74
intra-bank activity, transnational banking 184
investment, international 268–71
investment banks
14th–19th century 134–5
19th century to First World War 135–7
19th–20th century 139–53
1920s to present 154–9
2007–08 and beyond 158–9
characteristics 110, 133–4
conflicts of interest 496–7
financial crisis 2007–09 158–9
New York 301
originating as merchant banks 134–5
primary securities markets 244
private banks 4–5, 103–6
securities markets 254
split from commercial banks 154–5, 399
structural differences 137–9
USA 94, 99, 104, 114
investment rates, correlation with savings rates for capital mobility 264–5, 266t
investor protection law 54
Investor's Monthly Manual 47
Ireland
credit cooperatives 200, 205
postal savings systems 200
IRI (Istituto per la Ricostruzione Industriale) 121
Islamic finance, restraining growth 70
Israel, costs of banking crises 443
Israel-British Bank 411
Istituto Mobiliari Italiano (IMI) 442
Istituto per la Ricostruzione Industriale (IRI) 121, 442
Italy
20th century 121
banking code 449
bimetallic monetary system 328–9
birth of modern finance 69–70
costs of banking crises 442
credit cooperatives 200
deflation 468
European Monetary Union (EMU) 475
impact on financing of public borrowing 424
investment banks 148–9
leaves EMS 474
postal savings systems 198
savings banks 198
state direct financing 430–1
system of coinage 325
universal banks 306
Itaú Unibanco 159
J. & W. Seligman 151–2, 300
J. Henry Schröder & Co. see Schroders
Jackson, Andrew 466
Jacksonian currency crisis 1837 466
Japan
19th century 115–16
20th century 123, 125–6
bank-based system 110–11
banking crises 455
banking regulation 401–2, 407, 449, 454–5
banking system 401–2, 405
banks and politics 432
competitive advantage of local knowledge 207
costs of banking crises 442–3
credit cooperatives 201
financial deregulation 125–6
gold standard 277
increase in public debt 424
intra-bank activity 184
investment banks 149–51
(p. 528) keiretsu (Japanese business groups) 123, 402
postal savings banks 198, 429
split of investment and commercial banking 155
stock exchanges merger 257
use of ROSCAs 195–6
zaibatsu 115–16, 123, 149–50, 155
Japan Development Bank 77
Jay Cooke & Co. 94–5, 151
Jewish community 64, 102
Johannesburg, financial centre 294
Johnson, Lyndon B. 473
joint-stock banks
19th century 226
bills of exchange 222
China 401-2, 404
commercial banks 113–16
England 397-98
industrialization in Europe 116–20
investment banks 145–6
multinational banks 166–8
Netherlands 144
private banks 91–2
regulation 398
joint-stock companies 141, 250
J.P. Morgan & Co,
commercial bank 114
cooperation 369
First World War 304
investment bank 140, 151–2, 159, 300
mergers 125
private bank 93, 101, 103
junk bonds, early form 70
Jurgensen Report 1983 (Report of the Working Group on Market Exchange Intervention) 379
Kabul Bank 68
keiretsu (Japanese business groups) 123, 402
Keynes, John Maynard 374
Kidder Peabody & Co. 300
King, Mervyn 372, 391
Kleinwort 140, 299
Knickerbocker Trust Company 399
Kreditanstalt für Wiederaufbau 429
Kuhn Loeb 151–2, 153, 300
Landesbanken 126
Latin America
bonds in default 281
capital issues 281
cross-border bank mergers 180
currency crises 474
Deutsche Bank in 167–8
ending of financial repression 76
Great Depression 283
international capital flows 273, 280
lending boom of 1820s 494
multinational banking 170
regional monetary integration 376
sovereign defaults 490, 491
trading with France 297
Latin Monetary Union 328–9
law, effect on finance 53–4
law firms, sovereign defaults 503
Lazard Frères 102, 140, 151
League of Nations, sovereign defaults 501
League of Nations Economic and Financial Organization (EFO) 499
Lee, Higginson and Co. 300
Lehman Brothers Holdings Inc. 67, 151–2, 158, 258, 385
lender of last resort
Bank of England 225–9
central banks 217–18, 351, 353–4
financial intermediaries 498–9
function 218
international 384
role and functions 384
temporary liquidity pressure 496
less developed countries
financial globalization 286
international investment in 268–71, 269t, 270t, 271f
savings flows to 271–2
letters obligatory 220
liability holders, costs of banking crises 442
liberalization
capital mobility 283–5
post Second World War banking 451
limited liability
joint-stock banks 398
pre-requisite for active capital market 54–5
private banks 104
US banks 398
Limited Liability Act 1856 (UK) 140
Lintner's model 42
liquidity
crisis 245
as financial repression instrument 75
risk 217
shocks 217, 224, 232, 236
Lloyds Bank 113, 126, 167, 299
Lloyds Bank International Lugano scandal 1974 411
loans
bottomry 70
call 222–3, 227, 231, 232
commercial 118
and financial stability 349
foreign 90
government 91–2, 423–5
international 183–4, 262, 279, 297–9
NINJA 68
non-performing (NPL) 403
risk 443–4
savings and 201–3, 205, 453
local governments 425
local knowledge, role in competitiveness of small-scale credit institutions 206–7
Lombard Street (Bagehot) 352, 384
Lombard Street, London 73, 222, 224
London
banking 113
financial centre 294, 295–8, 299, 304–5, 308–9, 310
foreign capital issues 281
international banking 302
merchant banking centre 134
merchant banks 101, 103–4
money markets 218–19, 221–4
multinational banking 166–7, 168, 177–8
new borrowers 1860s 495
private banks 89, 91, 92–3, 94, 97–8, 101
securities markets 141, 248, 249
stock exchange see London Stock Exchange
transnational banks 302
London and River Plate Bank 299
London and Westminster Bank 113
London City and Midland Bank 167
London Financial Association 140
London International Financial Futures Exchange (LIFFE) 257
London Stock Exchange
19th century 299
financial deregulation 156
foreign loans 297
foreign public debt 423
formation 249–51
merger 257
reforms 254–5
securities markets 249
London Stock Exchange Committee for General Purposes (CGP) 487–8, 503–4
looting 67–8
Louisiana Purchase 1803 72
low-income countries, ending of financial repression 76
Luxemburg, offshore financial centre 294
Luzzatti, Luigi 369
Maastricht Treaty 1992 284, 337, 381, 383
macroeconomic fluctuations
1970s 473
banking crises 445–8
sovereign debt markets 489–92
subprime crisis 455–6
US banking crises 453
Madoff, Bernie 68
Maghribi traders 63–6
Malaysia, currency crises 475
Manias, Panics and Crashes (Kindleberger) 494
Manufacturers Hanover Trust Company 151
market exclusion, for sovereign defaults 486–9
market liquidity 217, 218
market sanctions, sovereign debt markets 500–3
market-based systems
vs bank-based systems 112–16, 120
investment banks 110
Markowitz, Harry 43
Marquette vs First of Omaha (1978) 124
Marshall Plan funds 375
May Committee 1931 (Committee on National Expenditure UK) 471
(p. 530) Medici of Florence 135
Meiji Restoration 149
Melbourne, transnational banks 302
merchant banks
City of London 97, 101
conflicts of interest 497
early 134–5
London 93, 103–4, 167, 297, 299
money markets 223–4
primary securities markets 244
use of bills of exchange 219–21
mergers and acquisitions
cross-border bank 180
stock exchanges 257–8
US banks 125
Merkel, Angela 476–7
Merrill Lynch 158
Mexico
capital imports 302
debt default 273
financial crisis 1994–95 67, 74
sovereign defaults 484–5, 489, 491, 492
Middle East
multinational banking 170
standard of living 70
middle-income countries, ending of financial repression 76
Midland Bank 113, 126, 167, 299
migration, financial globalization 298
military interventions, sovereign defaults 500
Mills, Ogden 371
Minsheng Bank 403
Mitsubishi UFJ 125, 181
Mitsui Bank 115, 125
Modigliani-Miller model 42–3
monetary history, and financial history 20–1, 26
monetary stability
central banks 347–8, 371, 374
conflict with financial stability 407
monetary systems
21st century 337–9
end of the gold standard 331–7
gold standard 327–31
historical issues 321–2
preliminary concepts 322–4
regulation 9
single to multiple coins 324–7
monetary union, Europe 378–83
money
21st century 337–9
coin to paper 1920s 469
definition 322
money markets 217–19, 236
19th century (London) 221–4
19th century (New York) 229–32
19th century (panics) 224–9
20th century (US) 232–6
definition 6–7
early modern Europe 219–21
lender of last resort 236
panics see financial crises
Money Trust (US investment bank network) 114, 155
moral hazard 227–8, 382, 395, 396, 398, 405, 453, 485, 499
Morgan, John Pierpont 151, 156, 168, 399
Morgan Grenfell & Co. 101, 140, 297, 299
Morgan Stanley & Co. 103, 158, 159
Morgenthau, Henry 374
Moss, John 94
Muller, Huib 383
multinational banks
19th century 302
21st century 180
1944–1970 172–4
1970s onwards 174–80
2008 onwards 184–5
c.1913 165–9
definitions and key terms 5–6, 163–5
interwar period 169–72
key players 181–4
multinational corporation (MNC) 164
Mur d’argent (Wall of Money) 433
Naples, avoidance of default 490
Napoleon 367
NASDAQ 254, 257
National Association of Securities Dealers (NASD) 254
National Bank Act (Japan) 150
National Banking Acts 1863 and 1864 (US) 114, 152, 231, 231n, 398
(p. 531) National City Bank (NCB) 114, 153, 168, 170, 301
National Monetary Commission 1908 (US) 354, 367
National Provincial Bank 113, 299
National Savings (Great Britain) 429
National Westminster Bank 126
nationalization
banks 431
central banks 373
state direct financing 427–8
Nazi regime 25
Nederlandsche Credit-en Deposito Bank (NCDB) 144
Netherlands
19th century 117–18
20th century 122
banking code 449
capital exports 299
commercial banks 112
financial innovation 70–1
guilder 377
investment banks 143–4
measurement of capital adequacy 413
mergers between banks and insurance companies 126
personal debt 127
postal savings systems 198
savings banks 198
networks
interlocking directorates 155–6
private banks 88, 89
'New Economic History' 23, 30
New England 113–14
New York
centre for railway finance 94
financial centre 281, 294, 295, 300–5, 307–8, 310
financial crises 232–6
Great Depression 306
investment banks 99, 101, 104
money markets 218–19, 229–32
multinational banking 168, 170–1
securities markets 248
stock exchange 250–2, 254, 257, 308, 310 see also NASDAQ
transnational banks 302
New York Clearing House 233
New Zealand, inflation targeting 359
New Zealand Reserve Bank 359
Nixon, Richard 473
Nixon Shock 1971 473
non-performing loans (NPLs) 403, 403f
Nordic banking crises 1987–1994 453–4
Norman, Montagu 360, 369–70, 371–2
North America
capital issues 1920s 281
Citibank in 182
diversification of banks 73
Norway
19th century 119
banking regulation 454
costs of banking crises 442–3
NYSE Euronext 257
Office of the Comptroller of the Currency 398–9
O'Hagan, Henry 141
OMX 257
options
and financial economics 44
pricing theory 49, 54
securities markets 246–7
transnational banks 255
Organisation for Economic Co-operation and Development (OECD) 364, 450
Code of Liberalization of Capital Movements 284
Ottoman Empire
debt default 273
financial intervention 278–9
sovereign defaults 490
Overend Gurney & Co. 223, 227, 228
over-the-counter (OTC) markets 252–3, 255, 256
ownership, separated from control 53
Padoa-Schioppa, Tommaso 410–11
Pakistan, sovereign default 485
panics see financial crises
Paris
financial centre 293–8, 300, 305, 309, 311
private banks 90–1, 93, 95, 98, 104
securities markets 248, 249
transnational banks 302
(p. 532) Paris Bourse 249, 250, 298, 300, 423, 424
partnerships, merchant banks 134
pay, executive 53, 67
Peabody, George 140
Peel’s Act see Bank Act 1844 (UK)
Peking 302
People's Bank of China 345, 404
Pereire brothers 145
Peru
debt default 273, 283
foreign lending to 495
sovereign defaults 485, 490
'Phillips curve' 347
Poland
sovereign default 485
withdrawal from IMF 375
political history, financial history and 22, 28
politics, finance and 431–3
Pompidou, Georges 378
Ponzi schemes 68
poor countries see less developed countries
portfolio management, private banking 105
portfolio theory, and financial economics 48
Portugal
European Monetary Union (EMU) 475
nationalization of banks 428
savings banks 430
state direct financing 428
postal savings banks 429–31
postal savings systems 198
pound sterling
collapse in 1930s 307, 471
trading currency 229, 299, 305, 308
preferred shares 118, 136
price stability, relationship with exchange rate stability 365
primary securities markets 242–4
private banks 4–5, 87
18th century 89–91
1815–1870 (golden age) 91–6
1870–1931 (persistence) 96–101
1931–2014 (decline and resurgence) 101–6
definition and characteristics 87–8
investment banks 157
London 167, 297
portfolio management 105
private equity investments 177
private money markets 218
Progressive Movement US 209
prolongatiemarkt Netherlands 118
promissory notes 230, 233
promoters, company 141
Prudential Regulation Authority (UK) 409
Prussia, sovereign loans 92
Prussian Seehandlung 367
Prussian State Bank 355
public banks 428–9
'public choice theory' 422
public debt management
capital markets 422–5
central banks 368
development of central banks 366–7
diplomacy 425–6
public finance, and financial history 22
Pujo (Arsène) Commission/Committee 155–6, 433
qualitative asset transformation (QAT) 137
quantitative easing 338, 388
Rabobank 126
racial discrimination, reduced by financial deregulation 69
Raiffeisen cooperatives 199–201
railways
British 48
demand for long-term capital 136, 140–1
German 114
mania 53
need for securities markets 250
private banks 94
USA 94–5
Reconstruction Finance Corporation USA 442
regional banks, Japan 125
regional monetary integration, of central banks 376–83
regulation see financial regulation
Regulation Q 306, 399
Reichsbank (German central bank) 355, 367, 368, 370, 382, 469–71
gold reserves 470f
religious networks, of private banks 88–9
Renaissance 70
(p. 533) reparations payments, Germany 333–4, 469–71
reputation, loss of in capital markets 501
reputational mechanism 63–6
reserve accumulation, by governments in developing world 285
Resolution Trust Corporation US 442
reverse capital flows 285
Rhenish bankers 95–6
Riegle-Neal Interstate Banking and Branching Efficiency Act 1994 (US) 124, 125
Rio de Janeiro 302
risk
international capital flows 276–9
liquidity 217
management and sovereign defaults 492–9
market liquidity 217
multinational banking 178
shadow banking 185
Rockefeller family 153
Roosevelt-Corollary 1904 278
rotating savings and credit cooperatives (ROSCAs) 194–7, 209
Rothschilds
cooperation 368
foreign public debt 423
investment bank 135, 140
merchant bank 297, 299
multinational bank 166
private bank 92, 93, 95, 102
support for Brazil 490
Rothschild, Nathaniel Meyer de 92, 93, 493
Russia
capital imports 302
postal savings systems 198
recipient of capital exports 300
sovereign defaults 492
state direct financing 427
Russian Federation Bank 345
Sal. Oppenheim Jr. & Cie. 95
sanctions, sovereign debt markets 500–3
Sanderson & Co. (discount house) 226
Sarkozy, Nicolas 476
Savings and Loan crisis (US) 67–8, 349
savings and loans (S&Ls) 196, 201–3, 453
savings banks 197–8, 205, 208, 210, 429–31
savings rates, for capital mobility 264–5, 266t
Schacht, Hjalmar 370, 371–2
Schmidt, Helmut 378–9
Schröder, Johann Heinrich 93
Schroders Bank 93, 140, 297, 299
Schulze-Delitzsh cooperatives 199–200
Scottish banks, banking regulation 397
seasonality
UK 226
Second World War
central banks 346
financial centres 307
multinational banking 172
state direct financing 427
stock exchanges 252
secondary securities markets 244–6
securities 241–2
banking crises and 443–4
Securities and Exchange Commission (SEC) 66, 252, 254, 306
Securities and Exchange Law 1948 (US) 402
Securities Exchange Act 1934 (US) 306
Securities Exchange Act 1938 (US) 256
securities markets 7, 240–1, 258–60
1800–1914 (era of the Stock Exchange) 249–51
1914–75 (eclipse of the Stock Exchange) 251–3
common features 241–8
costs of banking crises 443
development 136–7, 249
era of global banks 253–8
global 248
history 248–58
primary 242–4
role and contribution 258–60
secondary 244–6
stock exchanges 246–8, 249–51
securitization 65
Segré, Claudio 409
Segré Report 409–10
self-finance 20
self-regulation
banking 397
central banks 356–7
financial markets 397
(p. 534) securities markets 259–60
stock exchanges 258
Seligman (J. & W.) 151–2, 300
shadow banking 185
Shanghai
financial centre 294, 295, 304
transnational banks 302
shareholders, costs of banking crises 441
shares see also stock exchanges
preferred 118
Shenzhen Development Bank 402
Shibusawa, Eiichi 150
short selling, regulation 255–6
Singapore, financial centre 294, 295, 312
Single European Act 1986 284
Single Market, Europe 124
S.I. Nord 102
small-scale credit institutions see credit instiutions
SMEs 128, 206–7
Smith, Payne & Smiths 89
Smithsonian Agreement 1971 337
social history 22, 23, 27
social movements 208–9
social networks, of private banks 89
social relationships 204–5
Société Générale Belge d'Entreprises Electriques 301
Société Générale de Belgique 301
Société Générale des Chemins de Fer Economiques 301
Société Générale du Crédit Industriel et Commercial (Crédit Industriel) 145
Société Générale (SG) 116, 117, 122, 142, 145–6, 300
Société Nationale d'Investissement 429
Society for Worldwide International Financial Telecommunication (SWIFT) system 179
socio-political perspectives 207–10
Sofina SA 301
solvency
government intervention 388
measurement 413–15, 414t
Soros, George 474
South Africa
capital imports 302
use of ROSCAs 195, 196
South America
Deutsche Bank 167–8
Great Depression 283
South Korea
banking regulation 401
banking systems 405
currency crises 475
South Sea Bubble 53
Southeast Asia New Zealand Australia Forum (SEANZA) 376
Southeast Asian Central Bankers' Forum (SEACEN) 376
sovereign debt 71
crisis 1982 415, 483–5
sovereign debt defaults 12–13, 481–3, 492–9
Argentina 273, 490, 491, 492
boom and bust cycles 489–92
business cycles 496
capital markets 481–3, 503–4
costs, penalties, sanctions 486–9
historical perspective 483–6
market and political sanctions 500–3
market distortions 492–9
sovereign risk
20th century 279
after default 502
international capital flows 276–9
Soviet Union, not joining IMF 375
Spain
capital imports 302
European Monetary Union (EMU) 475
savings banks 198
state direct financing 427
speculation, in securities 245–6
Speyer & Co. 151–2, 300
St Petersburg
financial centre 294, 303
stock exchange 303
transnational banks 302
stagflation 473
Standard Bank of South Africa 166
Standard Chartered Bank