The Institutional Dynamics of Banking Crisis and Reform in the UK, US, Australia and Canada (2011–2013)
We propose studying the causes of the recent banking crisis. An immediate puzzle is the variations in the intensity of the crisis between and within countries. Our aim is to explain why the Australian and Canadian banking systems proved relatively resilient during the crisis, why many banks in the UK and US proved so vulnerable, and why, even within the UK and US, some banks eschewed the risks which destroyed many of their competitors. Explaining such variation requires us to look inside the black box of national-level regulatory and especially internal bank governance structures and practices. We then use our account of the causes of the crisis and of the reasons for variation in banking practice to analyse post-crisis reform dynamics.