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Chinese Journal of Management Science ›› 1999, Vol. ›› Issue (1): 21-24.

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The Guarding Model of Moral Risk for Credit Risk Management

Li Yanxi, Chi Guotai   

  1. School of Management, Dalian University of Technology, Dalian
  • Received:1998-08-10 Revised:1998-11-17 Online:1999-03-28 Published:2012-03-06

Abstract: Due to unsymmetrical character of information in credit risk management, the moral risk will be caused, and loan risk of bank becomes larger. According to the theory of operations research and information economics, the guarding model of moral risk is formulated in this paper. It will play an important role in reducing the loan risk of bank.

Key words: loan, moral risk, guarding model