Financial Intermediation : strategic behaviours and regulation

This axis groups together researchers working in the banking sector and/or in the microstructure of financial markets.

Using such diverse methodologies as banking microeconomics, game theory and industrial organisation, this theme covers research focussing on questions concerning the very nature of intermediation activities, the regulation of banks, its role in the 2008 crisis and the resurgence of liquidity as a key factor in banking stability.

The questions of the integration of information, the cost of derivatives transactions and the choice of optimal price setting mechanisms are important axes for this theme.

Our expertise extends to questions of interaction between financial intermediaries and behaviour analysis, using empirical data obtained from market simulation games. The aim of this work is to improve the informative quality of prices, and thereby the transparency of financial markets.