This book is useful both for economic and legal analysis of financial institutions.It provides a plausible model to explain the corporate mechanism of a commercial bank, taking into account shareholders', lenders' (depositors'), and regulators' incentives. Although it does not provide any analysis of statutes or codes of banking laws, the model is simple enough to consider any rules in banking industry, from law and economics point of view, both domestic and international.It also provides brief analysis of specific financial schemes, such as scuritization, market value accounting, and more.Anyone who is interested in banking industry will find it worth spending several hours to at least scan through the content of this book.Click Here to see more reviews about: The Prudential Regulation of Banks (Hardcover)
