Calvin's Restrictions on Interest: Guidelines for the Credit Crisis
AbstractCalvin’s view on the legitimacy of interest has had a great impact on the economic development of Western society. Although Calvin took a fundamentally positive attitude to interest, he also proposed several restrictions on the charging of interest. In this article, we investigate the relevance of these restrictions to the current credit crisis. We find that each of them provides a relevant interpretation of what went wrong in the build up of the credit crisis and gives directions to improve policies of banks and governments as well.
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Bibliographic InfoPaper provided by Tilburg University, Center for Economic Research in its series Discussion Paper with number 2009-90.
Date of creation: 2009
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Banking sector; Bible; bonus system; Calvin; credit crisis; golden rule; reciprocity; government regulation; restriction on charging interest;
Other versions of this item:
- J. Graafland, 2010. "Calvin’s Restrictions on Interest: Guidelines for the Credit Crisis," Journal of Business Ethics, Springer, vol. 96(2), pages 233-248, October.
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