The Logic of Financial Nationalism
The Challenges of Cooperation and the Role of International Law

This book analyzes the dangers of financial nationalism in an interconnected global financial system, and discusses how international law might address them.

Federico Lupo-Pasini (Author)

9781316638767, Cambridge University Press

Paperback / softback, published 13 December 2018

308 pages
22.9 x 14.9 x 1.5 cm, 0.44 kg

'The book is enjoyable and well written, demonstrating the author's expertise on the topic, and combining legal theory with the analysis of practical case studies.' Lucia Satragno, Global Policy

Using case studies ranging from cross-border bank resolution to sovereign debt, the author analyzes the role of international law in protecting financial sovereignty, and the risks for the global financial system posed by the lack of international cooperation. Despite the post-crisis reforms, the global financial system is still mainly based on a logic of financial nationalism. International financial law plays a major role in this regard as it still focuses more on the protection of national interests rather than the promotion of global objectives. This is an inefficient approach because it encourages bad domestic governance and reduces capital mobility. In this analysis, Lupo-Pasini discusses some of the alternatives (such as the European Banking Union, Regulatory Passports, and international financial courts), and offers a new vision for the role of international law in maintaining and fostering global financial stability. In doing so, he fills a void in the law and economics literature, and puts forward a solution to tackle the problems of international cooperation in finance based on the use of international law.

Introduction
1. The logic of externalities
2. Nationalism and cooperation in international finance
3. The perils of home-country control
4. Cross-border banking
5. Nationalism in sovereign debt
6. Coordination battles in OTC derivatives regulation
7. Centralization and its limits
8. Compliance and global coalitions in international finance law
9. A different path to financial integration: regulatory passports
10. Dispute resolution
Concluding remarks.

Subject Areas: Banking law [LNPB], Financial law [LNP], International economic & trade law [LBBM], International finance [KCLF], Nationalism [JPFN]