Study On Japan's Banking Supervision After World War Ⅱ

Japan's bank supervision has its distinct characteristics. From the end of World War II to the mid of 1970s, the policy of Japan's bank supervision called"escort type"was successful, with it producing a myth of "bank without bankrupting". The policy created the stability of the banking system, which plays important role in the Japanese economy. After entering the 1980s, financial liberalization and the internationalization made Japan's banking supervision meaningless. The emergence of a variety of financial innovation decreased the effect of Japan's banking supervision greatly. Therefore, during the late 1980s and early 1990s, Japan reformed the banking supervision for the first time. However, the effects of this reform were not so good. In 1995, there were numerous problems happened in Japan's financial system and a large number of financial institutions went bankrupt. All of these announced the burst of the"banking without bankrupt"myth and these also were the direct reasons of the reform next year. As a result, there had been the Japan's "Financial Big Bang" in 1996. Japan carried out a comprehensive reform to its banking supervision. From the right year, Japan's banking system gradually got out of the shadow of non-performing loans. Since 2007, the United States sub-loan crisis erupted and in September 2008, the crisis arising the United States upgraded to a comprehensive financial crisis , the whole world are re-thinking how to regulate the financial industry in the end. The adjustments are bound to take significant impact in Japan's banking supervision in the future.There are all over four chapters in the article. In the basis of financial regulation and banking supervision theory, the second chapter makes an analysis of Japan's traditional banking supervision and the measures, analyzing the effect of the regulation and supervision. In the end of chapter II, we discuss the internal connection of the supervision and the Japanese bubble economy. In the next chapter, we describe the reform of banking supervision in the new situation detailed and also analyze the reform of the effect. In the final chapter, in the analysis of the crisis, which will impact the future banking supervision greatly, and according to measures, which the major economies take, we describe the initial blueprint for the future of banking supervision...