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- W2332418034 abstract "ABSTRACT In 1878 Chile experienced a banking crisis which brought an end to the Chilean free-banking period based on convertibility initiated in 1860. Using monthly bank balance sheets and other primary sources, I analyze the period and argue that one important explanation for the crisis was the growing relationship between banks and government through state loans to finance fiscal deficits and privileges to the issuing banks. I claim that the crisis emerged from a large bank loan in late 1877 which induced over-issuance and depreciation expectations leading, logically, to a bank run. The Chilean case provides valuable evidence of an element frequently neglected by the free-banking literature: the links between banks and government." @default.
- W2332418034 created "2016-06-24" @default.
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- W2332418034 date "2016-03-08" @default.
- W2332418034 modified "2023-09-27" @default.
- W2332418034 title "VINCULACIONES POLÍTICAS EN UN RÉGIMEN DE BANCA LIBRE: EL CASO DE LA CRISIS BANCARIA DE 1878 EN CHILE" @default.
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- W2332418034 doi "https://doi.org/10.1017/s0212610916000057" @default.
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