Study Of The Costs And Benefits Of Banking Supervision

Bank supervision is the most important part of financial supervision, especially under the trend of science and technology advancement, finance globalization, mix operation and loose regulation, bank supervision should take on the important task of improving the banks' efficiency and international competition power more efficiently to promote the financial system revolution and country economic development. Cost and benefit analysis of bank supervision gives us a realistic way to balance and improve the efficiency of the financial supervision.In this essay, based on the theory of Regulation Cost, use the domestic and overseas study production for reference, we define the cost and benefit of bank supervision particularly, and use the practicality of one city commercial bank to analyze the cost and benefit of bank supervision, further, bring forward the suggestions of reducing the cost of bank supervision and improving the efficiency. The structure of this essay as follows:Chapter one: literature summarization. The author reviews and summaries the main theories and the latest development of financial supervision and the domestic and overseas study production about the cost and benefit of financial supervision.Chapter two: Theoretic study of bank supervision's cost and benefit. The author defines the cost and benefit of bank supervision particularly, and uses economic method to analyze the relation between the supervision intension and the cost and benefit.Chapter three: The exemplification of the cost and benefit of bank supervision. The author chooses one city commercial bank as analyze object, and follow the history of China's financial supervision revolution to analyze the change trend of bank supervision's cost and benefit through three phases, and find out the reason of the change.Chapter four: The suggestions of reducing the cost of bank supervision and improving the efficiency. Basing on the chapter three, the author put forward the suggestions from the angle of how to reduce each supervision cost.