Business, 24.10.2019 03:00 Kataklusmos

Many policymakers is developing countries have proposed implementing systems of deposit insurance like the one that exists in the united states. however, replicating the financial system from one nation may not be successful in other nations due to different economies, politics, histories, etc.

deposit insurance is designed to fears of bank run and therefore confidence in banks and deposits.

however, because depositors may feel that the "safety net" of deposit insurance means they no longer need to supervise banks themselves, asymmetric information in the form of may

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