Abstract
Once insolvent thrifts are under its control, FSLIC must provide financial assistance to induce others to assume deposit liabilities. But how should FSLIC use its primary resolution alternatives -- assisted acquisition and liquidation -- to minimize the cost of meeting its obligations to depositors? Should FSLIC liquidate all insolvent thrifts? If only some, which ones? In this section we discuss principles that should guide the resolution process and thereby establish a basis for our substantive analysis in Chapters 4 through 6 that follow.
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© 1989 Kluwer Academic Publishers
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Kormendi, R.C., Bernard, V.L., Pirrong, S.C., Snyder, E.A. (1989). Resolution of Insolvent Thrifts: Fundamental Issues. In: Crisis Resolution in the Thrift Industry. Innovations in Financial Markets and Institutions, vol 3. Springer, Dordrecht. https://doi.org/10.1007/978-94-009-0735-5_4
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DOI: https://doi.org/10.1007/978-94-009-0735-5_4
Publisher Name: Springer, Dordrecht
Print ISBN: 978-94-010-6815-4
Online ISBN: 978-94-009-0735-5
eBook Packages: Springer Book Archive