Comment on: “Floating a “lifeboat”: The Banque de France and the crisis of 1889” by P.C. Hautcoeur, A. Riva, and E.N. White

Stefano Ugolini (1)

1 LEREPS - Laboratoire d'Etude et de Recherche sur l'Economie, les Politiques et les Systèmes Sociaux

• Bagehot argued that lifeboats are always suboptimal. • Assessing systemicness is difficult. • Too much information is required to offset undesirable distributional effects. • Optimal lifeboats might be impossible to implement.

Keywords: Lending of last resort; Bailout; SIFI; Moral hazard; Bagehot; Banque de France; Baring crisis

Domains: Economics and Finance; History; Risk Management [q-fin.RM]

Stefano Ugolini. Comment on: “Floating a “lifeboat”: The Banque de France and the crisis of 1889” by P.C. Hautcoeur, A. Riva, and E.N. White. Journal of Monetary Economics, 2014, 65, pp.120-123. ⟨10.1016/j.jmoneco.2014.04.009⟩. ⟨hal-01293759⟩