Abstract
Two information-related trends have dramatically altered our perceptions of financial intermediation in recent years. These trends are:
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(1)
an ongoing paradigm shift in financial-economic theory and regulation that focuses on the role of financial intermediaries in overcoming informational problems in financial contracting and transactions as their primary source of value creation, and
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(2)
a protracted series of technology shocks with order-of-magnitude effects on the costs of transmitting and processing information.
This thing [technology] is like a tidal wave. If you fail in the game, you’re going to be dead.
Hugh McColl, Chairman and C.E.O.of Nationsbank Corp., in the Wall Street Journal, July 25, 1996, p. Al.
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Emmons, W.R., Greenbaum, S.I. (1998). Twin information revolutions and the future of financial intermediation. In: Amihud, Y., Miller, G. (eds) Bank Mergers & Acquisitions. The New York University Salomon Center Series on Financial Markets and Institutions, vol 3. Springer, Boston, MA. https://doi.org/10.1007/978-1-4757-2799-9_3
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DOI: https://doi.org/10.1007/978-1-4757-2799-9_3
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