Entry barriers and evolution of banking systems: Lessons from the 1980s Canadian western bank failures

Abstract: As federal policy‐makers revise and update the Bank Act, any change should be seen in the context of public policy towards financial institutions in Canada. Rather than being condemned to repeat history, both policy‐makers and potential bank entrepreneurs would be well advised to re‐examine the Report of the Inquiry into the Collapse of the ccb and Northland Bank (August 1986), chaired by the Honourable Willard Z. Estey. Public policy for financial institutions faces the challenge of reconciling competing interests. Since 1867, Canada has experienced a nationally controlled banking system that is highly stable (i.e., few bankruptcies) and that has enabled in‐flows of capital needed for national economic development. The Canadian Commercial Bank failure raised a fundamental challenge to the government's policy agenda. When asked what the government's position should be, the three officials recommended the rescue package. All three participants from the political side advised against it. Future policy must learn the lessons from this important and atypical moment in Canadian financial history. Sommaire: Alors que les decisionnaires federaux revoient et mettent à jour la Loi sur les banques, toute modification devrait être envisagée dans le contexte de la politique gouvernementale visant les institutions financières au Canada. Plutôt que d'être condamnés à répéter les mêmes erreurs, les décisionnaires et les banquiers potentiels feraient bien mieux de réexaminer le Rapport de la commission d'enquête sur la faillite de la Banque commerciale du Canada et la Norbanque (août 1986), présidée par l'honorable Willard Z. Estey. La politique gouvernementale concernant les institutions financières a la tâche difficile de réconcilier des intérêts opposés. Depuis 1867, le Canada connaît un système bancaire contrôléà l'échelle nationale qui est très stable, ayant enregistré peu de faillites, et qui a permis des rentrées de fonds nécessaires au développement économique national. La faillite de la BCC a lancé un défi fonda mental au programme de politique gouvernementale. Lorsqu'on leur a demandé quelle devrait être la position du gouvernement, les trois responsables ont recommandé le programme de renflouement. Les trois participants du secteur politique ont conseillé le contraire. Les futurs décisionnaires doivent tirer des leçons de cet évènement important et exceptionnel dans l'histoire financière canadienne.     

Retention of Offender DNA Samples Necessary to Ensure and Monitor Quality of Forensic DNA Efforts: Appropriate Safeguards Exist to Protect the DNA Samples from Misuse

Retention of offender DNA samples serves an important quality assurance role for forensic DNA laboratories. Consistent with the principles of confidentiality underlying the establishment of the state and national DNA databases, safeguards are in place to protect the DNA samples from unauthorized use.     

Security threats and institutional response. The European context

This paper will explore the perceptions of security threats (identification of types and likelihood of occurrence) and institutional response (degree of institutional suitability according to type of threat) that prevails in the European context. It will compare how the main security institutions (NATO, EU and OSCE) respond to different type of security threats. This will be done through the aid of a number of security governance functions (conflict prevention, peace-enforcement, peace-keeping and peace-building). A main objective of the paper will be to examine which of the three is deemed most relevant in dealing with specific types of threats.     

General Deterrence and Corporate Environmental Behavior*

This research addresses the assumption that “general deterrence” is an important key to enhanced compliance with regulatory laws. Through a survey of 233 firms in several industries in the United States, we sought to answer the following questions: (1) When severe legal penalties are imposed against a violator of environmental laws, do other companies in the same industry actually learn about such “signal cases”? (2) Does knowing about “signal cases” change firms’ compliance‐related behavior? It was found that only 42 percent of respondents could identify the “signal case,” but 89 percent could identify some enforcement actions against other firms, and 63 percent of firms reported having taken some compliance‐related actions in response to learning about such cases. Overall, it is concluded that because most firms are in compliance already (for a variety of other reasons), this form of “explicit general deterrence” knowledge usually serves not to enhance the perceived threat of legal punishment, but as reassurance that compliance is not foolish and as a reminder to check on the reliability of existing compliance routines.     

Bureaucratic capacity and state-society relations in China

In view of the efforts of post-Mao state-rebuilding, how does bureaucratic capacity affect the pattern of state-society interaction in China, where a robust civil society is still missing? Using the case of China’s population control, we analyze the linkage between bureaucratic capacity and state-society relations. The study demonstrates remarkable resilience of the party-state and its transformative thrust in reformist China. Through a mix of mass mobilization and institutional building, the Chinese state remains puissant in extending social control over its people. Equally important, bureaucratic capacity is a major predictor of state coerciveness. Other things being equal, localities with stronger bureaucratic capacity tend to develop a less antagonist and more cooperative state-society relationship. Bureaucratic capacity can serve as remedy to despotic or authoritarian rule despite the lack of an autonomous civil society. This finding has important implications for the potential of democratization in China.     

Error minimization and deterrence in agency control

In the presented oversight model, in which a regulatory agency may collude with regulatees, a watchdog organization may scrutinize the agency’s decision-making and find evidence speaking for collusive behavior. Found evidence is of a specific, stochastic quality. Courts will overturn the administrative decision when the evidence presented in court exceeds a minimum quality standard set by the political principal. Lowering the quality standard increases the odds of finding evidence of sufficient quality and, hence, leads to increasing collusion deterrence and to a lower probability of acquitting collusive administrators (type I error), but also to a higher probability of convicting an innocent administrator (type II error). It is shown that, when welfare-maximization gives rise to an interior solution, the welfare-maximizing standard of evidence is lower than the one that merely minimizes the costs of legal errors without taking deterrence costs into account, but will imply incomplete deterrence. However, conditions can and will be identified under which both error cost minimization and complete deterrence coincide with welfare-maximization.     

检察监督原则另论

检察监督原则是我国检察权配置的基本方案和原则。根据检察监督原则的要求,检察权本质上是一种法律监督权,检察院可以对公安机关和法院进行监督。但是,从检察权本身的性质和特征来分析,检察监督原则的法理合理性却值得质疑。