TY - BOOK ID - 84539305 TI - Bank Fragility and International Capital Mobility PY - 1999 SN - 1462352952 1452733082 1282035401 1451899092 9786613796912 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Banks and Banking KW - Corporate Finance KW - Exports and Imports KW - Financial Aspects of Economic Integration KW - Open Economy Macroeconomics KW - Banks KW - Depository Institutions KW - Micro Finance Institutions KW - Mortgages KW - International Investment KW - Long-term Capital Movements KW - Corporate Finance and Governance: General KW - Banking KW - International economics KW - Ownership & organization of enterprises KW - Foreign assets KW - Bank deposits KW - Corporate sector KW - Foreign banks KW - Banks and banking KW - Investments, Foreign KW - Business enterprises KW - Banks and banking, Foreign UR - https://www.unicat.be/uniCat?func=search&query=sysid:84539305 AB - The paper examines the effects of increased financial integration on the economy and, specifically, the welfare of depositors and the business sector. A simple model of a small open economy with a fragile banking sector and imperfect capital mobility is developed. Increased international integration of the market for bank deposits makes runs on banks more likely and unambiguously hurts the domestic business sector. Depositors may gain or lose depending on the parameters. Even when depositors gain, the overall effect on the economy depends on the size of foreign assets held relative to the costs of bank crises. ER -