Abstract
Financial stability is a condition in which the system of intermediaries, markets, and market infrastructures is capable of withstanding shocks, as well as major imbalances, without falling apart. Financial stability reduces the probability of disruptions in the process of intermediation, particularly the likelihood of disruptions severe enough to impair capital allocation, play havoc with investments or, even worse, lead to a panic.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
Notes
D. N. Chorafas Breaking Up the Eur:. The End of a Common Currency (New York: Palgrave Macmillan, 2013).
D. N. Chorafas, The Changing Role of Central Banks (New York: Palgrave Macmillan, 2013).
Bob Woodward, State of Denial: Bush at War, Part III (London: Simon & Schuster, 2006).
Copyright information
© 2015 Dimitris N. Chorafas
About this chapter
Cite this chapter
Chorafas, D.N. (2015). Financial Stability. In: Financial Cycles. Palgrave Macmillan, New York. https://doi.org/10.1057/9781137497987_2
Download citation
DOI: https://doi.org/10.1057/9781137497987_2
Publisher Name: Palgrave Macmillan, New York
Print ISBN: 978-1-349-69816-5
Online ISBN: 978-1-137-49798-7
eBook Packages: Palgrave Economics & Finance CollectionEconomics and Finance (R0)