Seminar: "Does the Legal System Influence Bank Risk-taking? Evidence from Three Financial Crises”

In the framework of teaching and research team activities of the Faculty of Finance, on the afternoon of January 18, 2018, Assoc. Prof. Vo Thi Thuy Anh had a seminar on the topic "Does the Legal System Influence Bank Risk-taking? Evidence from Three Financial Crises" to lecturers, research students, graduate students, and students.

Research to consider the problem whether the legal system affects banking risk through empirical analysis of three major crises, East Asian financial crisis, global financial crisis and Eurozone panic.

The research results show some of the following highlights:

(1) The increasing control of the institutional environment, the legal system has reduced (increased) the risk decisions of banks during the East Asian financial crisis and the global financial crisis, eurozone panic.

(2) The legal system can predict the emergence of financial crises

(3) The legal system influences the strongly crisis more than the bank's risky decisions

Researched results have questioned whether further tightening of the legal system can limit extremely risky decisions and whether the legal system can reduce influence on crises more than limited to risky decisions or not.

The meeting took place with the participation of exciting discussions of the lecturers of the Faculty of Finance about the presented research issues.

Thank Assoc. Prof. Vo Thi Thuy Anh and wish her and the research team will be more successful.