Comparative Analysis of the Global Banking System: A Study of the American and Chinese Banking Regulations
Keywords:
Global Banking System, American and Chinese Banking, Comparative Analysis
Abstract
This article outlines the international financial system and compares Chinese and US banking rules. This study will compare these two economic powerhouses’ monetary, regulatory, and organisational strategies. Global banking has a problem despite its relevance to economic growth and financial management. Different nations restrict their industries, making them less productive and efficient. Thus, decision-makers, regulators, and financial institutions must understand the US-Chinese banking system similarities and differences. This study examines US and Chinese banking rules, how they affect financial stability, and lessons or best practices that could be implemented abroad. This study compares qualitative and quantitative approaches. It requires data, regulatory, and research analysis. Case studies and interviews with industry professionals and officials will help us learn. US and Chinese banks appear to have undertaken considerable regulatory adjustments after the global financial crisis. The Dodd-Frank Act increases US risk management and transparency. China improved financial stability and oversight by strengthening capital adequacy laws and encouraging deleveraging. Following the analysis, banking regulation improved: 1. Encourage international policymaker-regulator interaction and knowledge-sharing. 2. This study helps policymakers understand the global banking system.
References
1. E. B. Anarfo and J. Y. Abor, “Financial regulation and financial inclusion in Sub-Saharan Africa: Does financial stability play a moderating role?,” Research in International Business and Finance, vol. 51, p. 101070, 2020.
2. P. Verma, A. Dumka, A. Bhardwaj, A. Ashok, M. C. Kestwal, and P. Kumar, “A statistical analysis of impact of COVID19 on the global economy and stock index returns,” SN Computer Science, vol. 2, pp. 1-13, 2021.
3. H. Hussein, N. Kasim, and V. Arumugam, “A review of creative accounting practices and its area, technique and ways of prevention,” International Journal of Science and Research, vol. 4, no. 10, pp. 1377-1381, 2015.
4. G. Giese, L.-E. Lee, D. Melas, Z. Nagy, and L. Nishikawa, “Foundations of ESG investing: How ESG affects equity valuation, risk, and performance,” The Journal of Portfolio Management, vol. 45, no. 5, pp. 69-83, 2019.
5. W. Zhang, J. Li, G. Li, and S. Guo, “Emission reduction effect and carbon market efficiency of carbon emissions trading policy in China,” Energy, vol. 196, p. 117117, 2020.
6. H. Van Greuning and S. B. Bratanovic, Analysing banking risk: a framework for assessing corporate governance and risk management. World Bank Publications, 2020.
7. H. N. H. AL-HASHIMY, “The Effect of Tax System on Shareholder Decisions when Choosing a Accounting Principles,” Journal of Reviews on Global Economics, vol. 7, pp. 21-27, 2018.
8. L. M. Hasan, L. A. Zgair, A. A. Ngotoye, H. N. Hussain, and C. Najmuldeen, “A review of the factors that influence the adoption of cloud computing by small and medium enterprises,” Scholars Journal of Economics, Business and Management, vol. 2, no. 1, pp. 842-848, 2015.
9. H. AL-HASHIMY, “Factor Influencing Salaries and Wage Order: Empirical Study at Basra University,” IOSR Journal of Business and Management, vol. 19, no. 1, pp. 30-36, 2017.
10. M. Al-HASHIMY and H. N. H. Al-hashimy, “Strategic Accounting in the Profitability of Construction Engineering Projects Management Companies in Iraq,” Journal of Engineering and Applied Sciences, vol. 14, no. 3, pp. 941-944, 2019.
11. H. N. H. Al-Hashimy, “The Effect of Building Information Modelling (BIM) on the Accounting Information System (AIS) of construction firm,” International Journal of Business and Management Invention, vol. 11, no. 12, pp. 31-39, 2022.
12. H. N. H. Al-Hashimy, T. T. Y. Alabdullah, E. Ries, M. A. Ahmed, M. I. Nor, and K. A. M. Jamal, “The Impact of Financial Management Elements and Behavioral Intention on the Financial Performance,” 2022.
13. W. N. Hussein, H. N. Hussain, H. N. Hussain, and A. Q. Mallah, “A deployment model for IoT devices based on fog computing for data management and analysis,” Wireless Personal Communications, pp. 1-13, 2023.
14. H. N. AL-Hashmy, I. Said, and R. Ismail, “Analysing the Impact of Computerised Accounting Information System on Iraqi Construction Companies’ Performance,” Informatica, vol. 46, no. 8, 2022.
15. H. N. Hussain, T. T. Y. Alabdullah, E. R. Ahmed, and K. A. M. Jamal, “Implementing Technology for Competitive Advantage in Digital Marketing,” 2023.
16. H. N. Hussain, T. T. Y. Alabdullah, and M. Kanaan Abdulkarim, “Time Management as a Critical Success Factor in the Oil Industry of Basra Governorate: An Accounting Information Systems Study,” 2023.
17. E. Hossain, D. Murtaugh, J. Mody, H. M. R. Faruque, M. S. H. Sunny, and N. Mohammad, “A comprehensive review on second-life batteries: Current state, manufacturing considerations, applications, impacts, barriers & potential solutions, business strategies, and policies,” Ieee Access, vol. 7, pp. 73215-73252, 2019.
18. H. Park and J. D. Kim, “Transition towards green banking: role of financial regulators and financial institutions,” Asian Journal of Sustainability and Social Responsibility, vol. 5, no. 1, pp. 1-25, 2020.
19. H. N. H. AL-Hashimy, “The Role of Auditing Practices that Affect Accounting Standards and Taxable Income: A Study in Iraq,” Journal of University of Babylon for Pure and Applied Sciences, vol. 27, no. 6, pp. 244-258, 2019.
20. H. HUSSAIN, “Introduction to management skills must be available to accountants in Iraq,” International Institute for Science, Technology and Education, 2017.
21. V. Arumugam, H. N. Hussein, and C. Najmuldeen, “A Review and Model Development of the Factors that Affect Mobile Marketing Acceptance by Customers,” International Journal of Science and Research, vol. 4, no. 10, pp. 1475-1478, 2015.
22. W. He, L. Tan, Z. J. Liu, and H. Zhang, “Property rights protection, environmental regulation and corporate financial performance: Revisiting the Porter Hypothesis,” Journal of Cleaner Production, vol. 264, p. 121615, 2020.
23. H. N. H. Al-Hashimy, “The Impact of Corona virus Pandemic on the International and Domestic Economy: Analysis the Strengths and Weaknesses Based on SWOT Analysis,” International Journal of Business and Management Invention, vol. 11, no. 10, pp. 90-96, 2022.
24. H. N. H. Al-Hashimy, I. Said, and R. Ismail, “Evaluating the Impact of Computerized Accounting Information System on the Economic Performance of Construction Companies in Iraq,” Informatica, vol. 46, no. 7, 2022.
25. H. N. H. Al-Hashimy, “The Impact of Building Information Management (BIM) on the Profitability of Construction Projects,” International Journal of Scientific and Management Research, vol. 5, no. 10, pp. 156-169, 2022.
26. V. Braun, V. Clarke, E. Boulton, L. Davey, and C. McEvoy, “The online survey as a qualitative research tool,” International journal of social research methodology, vol. 24, no. 6, pp. 641-654, 2021.
27. A. Richter and T. C. Wilson, “Covid-19: implications for insurer risk management and the insurability of pandemic risk,” The Geneva risk and insurance review, vol. 45, pp. 171-199, 2020.
28. M. Qaim, “Role of new plant breeding technologies for food security and sustainable agricultural development,” Applied Economic Perspectives and Policy, vol. 42, no. 2, pp. 129-150, 2020.
29. X. Hua and Y. Huang, “Understanding China’s fintech sector: development, impacts and risks,” The European Journal of Finance, vol. 27, no. 4-5, pp. 321-333, 2021.
30. L. Yang, S. van Wijnbergen, X. Qi, and Y. Yi, “Chinese shadow banking, financial regulation and effectiveness of monetary policy,” Pacific-Basin Finance Journal, vol. 57, p. 101169, 2019.
31. M. DeCastro et al., “Europe, China and the United States: Three different approaches to the development of offshore wind energy,” Renewable and Sustainable Energy Reviews, vol. 109, pp. 55-70, 2019.
32. H. N. H. Al-Hashimy, “A review of Accounting Manipulation and Detection: Technique and Prevention Methods,” International Journal of Business and Management Invention, vol. 11, no. 10, pp. 82-89, 2022.
33. J. R. Genzen, “Regulation of laboratory-developed tests: a clinical laboratory perspective,” American Journal of Clinical Pathology, vol. 152, no. 2, pp. 122-131, 2019.
34. W. Du and M. Li, “Assessing the impact of environmental regulation on pollution abatement and collaborative emissions reduction: Micro-evidence from Chinese industrial enterprises,” Environmental Impact Assessment Review, vol. 82, p. 106382, 2020.
35. M. S. Aslam, B. Huang, and L. Cui, “Review of construction and demolition waste management in China and USA,” Journal of Environmental Management, vol. 264, p. 110445, 2020.
36. F. Allen, X. Gu, and J. Jagtiani, “Fintech, cryptocurrencies, and CBDC: Financial structural transformation in China,” Journal of International Money and Finance, vol. 124, p. 102625, 2022.
37. G. Kou, X. Chao, Y. Peng, F. E. Alsaadi, and E. Herrera-Viedma, “Machine learning methods for systemic risk analysis in financial sectors,” Technological and Economic Development of Economy, vol. 25, no. 5, pp. 716-742, 2019.
2. P. Verma, A. Dumka, A. Bhardwaj, A. Ashok, M. C. Kestwal, and P. Kumar, “A statistical analysis of impact of COVID19 on the global economy and stock index returns,” SN Computer Science, vol. 2, pp. 1-13, 2021.
3. H. Hussein, N. Kasim, and V. Arumugam, “A review of creative accounting practices and its area, technique and ways of prevention,” International Journal of Science and Research, vol. 4, no. 10, pp. 1377-1381, 2015.
4. G. Giese, L.-E. Lee, D. Melas, Z. Nagy, and L. Nishikawa, “Foundations of ESG investing: How ESG affects equity valuation, risk, and performance,” The Journal of Portfolio Management, vol. 45, no. 5, pp. 69-83, 2019.
5. W. Zhang, J. Li, G. Li, and S. Guo, “Emission reduction effect and carbon market efficiency of carbon emissions trading policy in China,” Energy, vol. 196, p. 117117, 2020.
6. H. Van Greuning and S. B. Bratanovic, Analysing banking risk: a framework for assessing corporate governance and risk management. World Bank Publications, 2020.
7. H. N. H. AL-HASHIMY, “The Effect of Tax System on Shareholder Decisions when Choosing a Accounting Principles,” Journal of Reviews on Global Economics, vol. 7, pp. 21-27, 2018.
8. L. M. Hasan, L. A. Zgair, A. A. Ngotoye, H. N. Hussain, and C. Najmuldeen, “A review of the factors that influence the adoption of cloud computing by small and medium enterprises,” Scholars Journal of Economics, Business and Management, vol. 2, no. 1, pp. 842-848, 2015.
9. H. AL-HASHIMY, “Factor Influencing Salaries and Wage Order: Empirical Study at Basra University,” IOSR Journal of Business and Management, vol. 19, no. 1, pp. 30-36, 2017.
10. M. Al-HASHIMY and H. N. H. Al-hashimy, “Strategic Accounting in the Profitability of Construction Engineering Projects Management Companies in Iraq,” Journal of Engineering and Applied Sciences, vol. 14, no. 3, pp. 941-944, 2019.
11. H. N. H. Al-Hashimy, “The Effect of Building Information Modelling (BIM) on the Accounting Information System (AIS) of construction firm,” International Journal of Business and Management Invention, vol. 11, no. 12, pp. 31-39, 2022.
12. H. N. H. Al-Hashimy, T. T. Y. Alabdullah, E. Ries, M. A. Ahmed, M. I. Nor, and K. A. M. Jamal, “The Impact of Financial Management Elements and Behavioral Intention on the Financial Performance,” 2022.
13. W. N. Hussein, H. N. Hussain, H. N. Hussain, and A. Q. Mallah, “A deployment model for IoT devices based on fog computing for data management and analysis,” Wireless Personal Communications, pp. 1-13, 2023.
14. H. N. AL-Hashmy, I. Said, and R. Ismail, “Analysing the Impact of Computerised Accounting Information System on Iraqi Construction Companies’ Performance,” Informatica, vol. 46, no. 8, 2022.
15. H. N. Hussain, T. T. Y. Alabdullah, E. R. Ahmed, and K. A. M. Jamal, “Implementing Technology for Competitive Advantage in Digital Marketing,” 2023.
16. H. N. Hussain, T. T. Y. Alabdullah, and M. Kanaan Abdulkarim, “Time Management as a Critical Success Factor in the Oil Industry of Basra Governorate: An Accounting Information Systems Study,” 2023.
17. E. Hossain, D. Murtaugh, J. Mody, H. M. R. Faruque, M. S. H. Sunny, and N. Mohammad, “A comprehensive review on second-life batteries: Current state, manufacturing considerations, applications, impacts, barriers & potential solutions, business strategies, and policies,” Ieee Access, vol. 7, pp. 73215-73252, 2019.
18. H. Park and J. D. Kim, “Transition towards green banking: role of financial regulators and financial institutions,” Asian Journal of Sustainability and Social Responsibility, vol. 5, no. 1, pp. 1-25, 2020.
19. H. N. H. AL-Hashimy, “The Role of Auditing Practices that Affect Accounting Standards and Taxable Income: A Study in Iraq,” Journal of University of Babylon for Pure and Applied Sciences, vol. 27, no. 6, pp. 244-258, 2019.
20. H. HUSSAIN, “Introduction to management skills must be available to accountants in Iraq,” International Institute for Science, Technology and Education, 2017.
21. V. Arumugam, H. N. Hussein, and C. Najmuldeen, “A Review and Model Development of the Factors that Affect Mobile Marketing Acceptance by Customers,” International Journal of Science and Research, vol. 4, no. 10, pp. 1475-1478, 2015.
22. W. He, L. Tan, Z. J. Liu, and H. Zhang, “Property rights protection, environmental regulation and corporate financial performance: Revisiting the Porter Hypothesis,” Journal of Cleaner Production, vol. 264, p. 121615, 2020.
23. H. N. H. Al-Hashimy, “The Impact of Corona virus Pandemic on the International and Domestic Economy: Analysis the Strengths and Weaknesses Based on SWOT Analysis,” International Journal of Business and Management Invention, vol. 11, no. 10, pp. 90-96, 2022.
24. H. N. H. Al-Hashimy, I. Said, and R. Ismail, “Evaluating the Impact of Computerized Accounting Information System on the Economic Performance of Construction Companies in Iraq,” Informatica, vol. 46, no. 7, 2022.
25. H. N. H. Al-Hashimy, “The Impact of Building Information Management (BIM) on the Profitability of Construction Projects,” International Journal of Scientific and Management Research, vol. 5, no. 10, pp. 156-169, 2022.
26. V. Braun, V. Clarke, E. Boulton, L. Davey, and C. McEvoy, “The online survey as a qualitative research tool,” International journal of social research methodology, vol. 24, no. 6, pp. 641-654, 2021.
27. A. Richter and T. C. Wilson, “Covid-19: implications for insurer risk management and the insurability of pandemic risk,” The Geneva risk and insurance review, vol. 45, pp. 171-199, 2020.
28. M. Qaim, “Role of new plant breeding technologies for food security and sustainable agricultural development,” Applied Economic Perspectives and Policy, vol. 42, no. 2, pp. 129-150, 2020.
29. X. Hua and Y. Huang, “Understanding China’s fintech sector: development, impacts and risks,” The European Journal of Finance, vol. 27, no. 4-5, pp. 321-333, 2021.
30. L. Yang, S. van Wijnbergen, X. Qi, and Y. Yi, “Chinese shadow banking, financial regulation and effectiveness of monetary policy,” Pacific-Basin Finance Journal, vol. 57, p. 101169, 2019.
31. M. DeCastro et al., “Europe, China and the United States: Three different approaches to the development of offshore wind energy,” Renewable and Sustainable Energy Reviews, vol. 109, pp. 55-70, 2019.
32. H. N. H. Al-Hashimy, “A review of Accounting Manipulation and Detection: Technique and Prevention Methods,” International Journal of Business and Management Invention, vol. 11, no. 10, pp. 82-89, 2022.
33. J. R. Genzen, “Regulation of laboratory-developed tests: a clinical laboratory perspective,” American Journal of Clinical Pathology, vol. 152, no. 2, pp. 122-131, 2019.
34. W. Du and M. Li, “Assessing the impact of environmental regulation on pollution abatement and collaborative emissions reduction: Micro-evidence from Chinese industrial enterprises,” Environmental Impact Assessment Review, vol. 82, p. 106382, 2020.
35. M. S. Aslam, B. Huang, and L. Cui, “Review of construction and demolition waste management in China and USA,” Journal of Environmental Management, vol. 264, p. 110445, 2020.
36. F. Allen, X. Gu, and J. Jagtiani, “Fintech, cryptocurrencies, and CBDC: Financial structural transformation in China,” Journal of International Money and Finance, vol. 124, p. 102625, 2022.
37. G. Kou, X. Chao, Y. Peng, F. E. Alsaadi, and E. Herrera-Viedma, “Machine learning methods for systemic risk analysis in financial sectors,” Technological and Economic Development of Economy, vol. 25, no. 5, pp. 716-742, 2019.
Published
2023-11-17
How to Cite
Yao Jinfang, Hisham Noori Hussain Al-Hashimy, Waleed Noori Hussein, & Haider Noori Hussain. (2023). Comparative Analysis of the Global Banking System: A Study of the American and Chinese Banking Regulations. International Journal on Economics, Finance and Sustainable Development, 5(11), 73-82. Retrieved from https://journals.researchparks.org/index.php/IJEFSD/article/view/4946
