Differentiation and Analysis of the Rationality of Long-Term Loans and Short-term Savings from the Perspective of Principal-Agent
SHEN Jian-wen 1,2, WANG Li-ping 3
(1.School of Economics and Finance, Xi’an Jiaotong University, Xi’an 710061, China|2. Xi’an Branch，the People’s Bank of China, Xi’an 710075, China|3. School of Economics and Management, Xi'an University of Posts & Telecommunications, Xi’an 710061, China)
Abstract There exists the phenomenon of both current account and medium-long term loans in the bank capital operation, which has become one of theoretical focus subjects. The authors apply the principal-agent theory and hold that the overall objective functions of the government and bank are unified and that the phenomenon is an objective and rational form of compatible incentive-restriction and benign principal-agent mechanism. It is less likely to cause liquidity risk fundamentally. The authors also put forward proposals about continuing bank reform to guard against moral risk and adverse selection
SHEN Jian-Wen,WANG Li-Beng. Differentiation and Analysis of the Rationality of Long-Term Loans and Short-term Savings from the Perspective of Principal-Agent. Economic Survey, 2011, 28(2): 0148.
2011, Vol. 28 
