Can a return to Glass-Steagall provide financial stability in the US financial system?
In the immediate aftermath of the current financial crisis in the United States the response has been to resolve small and medium size banks, while large banks experiencing financial trouble have been given both direct and indirect government support. This, however, has resulted in a number of larger banks absorbing smaller ones, creating an even smaller number of even larger banks that dominate the financial system. This article deals first with a comparison of the problems created by "too big to fail" financial institutions. The second section deals with the possible restoration of Glass-Steagall type legislation as a means of restoring single-function financial institutions. It concludes that alternatives to separation of functions will have to be found to deal with multifunction financial institutions since most lending activity requires securities markets activities.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Alessandro Roncaglia, 2009. "Rule, instability and crisis," PSL Quarterly Review, Economia civile, vol. 62(248-251), pages 3-13.
- Michele Fratianni & Francesco Marchionne, 2010. "The Banking Bailout of the Subprime Crisis: Size and Effects," PSL Quarterly Review, Economia civile, vol. 63(254), pages 187-233.
- Stefano Fenoaltea, 2010. "The reconstruction of historical national accounts: the case of Italy," PSL Quarterly Review, Economia civile, vol. 63(252), pages 77-96.
- Amirhossein Najafi & Anwar Aridi & Hossein Askari, 2010. "Do Better Political Relations with the USA Improve A Country's Economic Outlook?," PSL Quarterly Review, Economia civile, vol. 63(255), pages 379-397.
- Mario Sarcinelli, 2009. "La vigilanza sul sistema finanziario: obiettivi, assetti e approcci," Moneta e Credito, Economia civile, vol. 62(245-248), pages 145-190.
When requesting a correction, please mention this item's handle: RePEc:psl:pslqrr:2010:13. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Carlo D'Ippoliti)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.