| Popis: |
The financial system is one of the primary users of information technology, which in recent decades has experienced phenomenal progress. This chapter discusses how information and communication technology has changed the financial system, and what policy challenges arise from the interactions of information technology progress and financial innovation. I focus on the asset management and banking industries. In the case of asset management, progress in information technology has partially transformed the industry, and potentially made it more efficient. In the case of banking, the industry has been changed profoundly, has grown significantly, but at the same time it has become more fragile. The chapter discusses the implications of these phenomena for policymaking. |
