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We present an Islamic deposit insurance model with both government and private insurers. We show that government insurer provides strong incentives for banks to take excessive systematic risks, and private… Click to show full abstract
We present an Islamic deposit insurance model with both government and private insurers. We show that government insurer provides strong incentives for banks to take excessive systematic risks, and private insurers can eliminate such incentives by charging a higher fee.
Keywords:
islamic deposit;
pricing islamic;
deposit insurance
Journal Title: Economics Letters
Year Published: 2019
Link to full text (if available)
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Journal Title: Economics Letters
Year Published: 2019
Link to full text (if available)
Share on Social Media: Sign Up to like & get
recommendations!