The German Financial System and the Financial and Economic Crisis

<div><br/></div><div>I. Development and structure of the German financial system</div><div>1. The historical development of the German financial system</div><div>1.1. Introduction</div><div>1.2. German industrialisation</div><div>1.3. The inter-war period</div><div>1.4. The post-war period in West Germany</div><div>2. The growth in finance and its role in the decades of financialisation</div><div>2.1. Introduction</div><div>2.2. Financial assets in the German economy</div><div>2.3. Size and activity of banking and financial markets in an international comparison</div><div>2.4. Increased financial activity in the German economy</div><div>2.5. Financial activities of non-financial corporations</div><div>2.6. Changes in household behaviour and balance sheets</div><div>2.7. The rise of institutional investors</div><div>2.8. Conclusion</div><div>3. The structure of the German financial system</div><div>3.1. Introduction</div><div>3.2. Banks</div><div>3.3. Securities markets</div><div>3.4. Sh</div>adow banks<div>3.5. Conclusion</div><div>4. Germany’s integration into international financial markets</div><div>4.1. Introduction</div><div>4.2. Current account developments and net capital flows</div><div>4.3. Capital outflows and capital inflows</div><div>4.4. International investment position</div><div>4.5. International indebtedness</div><div>4.6. International bank lending</div><div>4.7. Conclusion</div><div>5. European financial integration</div><div>5.1. Introduction</div><div>5.2. Key steps towards financial integration in Europe</div><div>5.3. The growth of bank lending in Europe</div><div>5.4. Bank lending to Euro Area countries</div><div>5.5. Target 2 balances</div><div>5.6. Conclusion</div><div>6. Regulatory framework: financial market regulation in Germany</div><div>6.1. Introduction</div><div>6.2. History of German financial market regulation</div><div>6.3. Movement towards a more market-based and deregulated financial system</div><div>6.4. Conclusion</div><div>II.</div> Competition, profitability and efficiency<div>7. The nature and degree of competition</div><div>7.1. Introduction</div><div>7.2. Concentration on the national level and international comparison</div><div>7.3. Retail banking and regional markets</div><div>7.4. Interest rate spreads in Germany and in international comparison</div><div>7.5. Competition in investment banking</div><div>7.6. Conclusion</div><div>8. Profitability of the financial sector and sub-sectors</div><div>8.1. Introduction</div><div>8.2. Profitability of the German banking sector in international comparison</div><div>8.3. Internal comparison of the profitability of the German banking sector</div><div>8.4. Comparison of the profitability of the financial corporate sector with the non-financial corporate sector</div><div>8.5. Conclusion</div><div>9. Efficiency of the financial sector</div><div>9.1. Introduction</div><div>9.2. Approaches towards efficiency</div><div>9.3. Efficiency of the German banking sector in i</div>nternational comparison<div>9.4. Efficiency of different segments of the German banking sector</div><div>9.5. The effect of mergers on efficiency of the banking sector</div><div>9.6. Conclusion</div><div>III. Finance and the non-financial sector</div><div>10. The changing roles of availability and sources of funds</div><10.1. Introduction<div>10.2. Financial balances of different sectors</div><div>10.3. Portfolio decisions of private households</div><div>10.4. Ownership of the German corporate sector</div><div>10.5. Conclusion</div><div>11. Sources of funds for business investments: non-financial corporate sector and small and medium-sized enterprises (SMEs)</div><div>11.1. Introduction</div><div>11.2. Sectoral composition, profit shares and real investment</div><div>11.3. Sources and uses of profits of non-financial corporations</div><div>11.4. Real investment finance of non-financial corporations</div><div>11.5. Real investment finance of small and medium-sized enterprises (</div>SMEs)<div>11.6. Conclusion</div><div>12. The involvement of the financial sector in the restructuring of the economy</div><div>12.1. Introduction</div><div>12.2. Changes in German corporate governance since the 1990s<div>12.3. Empirical development of M&A activity in Germany</div><div>12.4. The character of M&A in Germany</div><div>12.5. Involvement of financial institutions in corporate restructuring</div><div>12.6. Conclusion</div><div>13. Privatisation and the financial sector</div><div>13.1. Introduction</div><div>13.2. Privatisations in the German banking sector</div><div>13.3. Privatisation programmes in Germany: relation to the financial sector</div><div>13.4. Financial institutions and the government during the financial crisis</div><div>13.5. Conclusion</div><div>14. The financial sector and private households - culture and norms of the financial system</div><div>14.1. Introduction</div><div>14.2. The development of income distribution and the components of priva</div></div>te household sector income<div>14.3. Consumption and saving of private households</div><div>14.4. Household wealth and indebtedness</div><div>14.5. Conclusion</div><div>15. The real estate sector and its relation to the financial sector</div><div>15.1. Introduction</div><div>15.2. Historical background and institutional framework</div><div>15.3. Size and composition of the German real estate stock</div><div>15.4. Relevance of the real estate sector for German economic activity</div><div>15.5. Investment in real estate</div><div>15.6. Real estate prices and rents</div><div>15.7. The relation of the real estate sector with the financial sector</div><div>15.8. Institutional investors in the real estate sector</div><div>15.9. Conclusion</div><div>IV. Finance, distribution and crisis</div><div>16. Inequality and the financial system in Germany</div><div>16.1. Introduction</div><div>16.2. Functional income distribution</div><div>16.3. Personal income distribution</div><div>16.4. Effect</div>s of financialisation on income distribution in Germany<div>16.5. Conclusion</div><div>17. Crisis and macroeconomic policies</div><div>17.1. Introduction</div><div>17.2. The German macroeconomic policy regime in the era of finance-dominated capitalism</div><div>17.3. The crisis 2008/09 and economic policy responses</div><div>17.4. Conclusion</div>