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When is Free Banking More Stable Than Regulated Banking?

In: Monetary Theory and Thought

Author

Listed:
  • Carl F. Christ

Abstract

This paper presents a model of an open economy with free banking, and asks what features of free banking permit its advocates to say that it is more stable than regulated banking, both with respect to inflation and with respect to bank runs, failures and panics.

Suggested Citation

  • Carl F. Christ, 1993. "When is Free Banking More Stable Than Regulated Banking?," Palgrave Macmillan Books, in: Haim Barkai & Stanley Fischer & Nissan Liviatan (ed.), Monetary Theory and Thought, chapter 9, pages 185-209, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-12535-7_9
    DOI: 10.1007/978-1-349-12535-7_9
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    Cited by:

    1. PAUL D. McNELIS & NAOYUKI YOSHINO, 2018. "Household Income Dynamics In A Lower-Income Small Open Economy: A Comparison Of Banking And Crowdfunding Regimes," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 63(01), pages 147-166, March.

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