tag:blogger.com,1999:blog-6245381193993153721.post1872295513909793413..comments2024-03-17T00:23:24.896-07:00Comments on Social Democracy for the 21st Century: A Realist Alternative to the Modern Left: Why Did Canada Have no Mass Banking Failures in the Great Depression?Lord Keyneshttp://www.blogger.com/profile/06556863604205200159noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-6245381193993153721.post-30313992324341097202012-09-16T08:49:31.033-07:002012-09-16T08:49:31.033-07:00Then does this mean that the lack of branch bankin...<i>Then does this mean that the lack of branch banking in the US at onset of the Great Depression most probably partially contributed to more bank failures than would have occurred had branch banking been allowed?</i><br /><br />No doubt it did, to the extent that diversified branch banking would have given banks a better asset portfolio and a greater stock of reserves.<br /><br />But then the Fed could have intervened and protected depositors and stopped any banking collapses too just as it did 2008-2009.<br /><br />Lord Keyneshttps://www.blogger.com/profile/06556863604205200159noreply@blogger.comtag:blogger.com,1999:blog-6245381193993153721.post-18979207444214569072012-09-15T19:37:36.608-07:002012-09-15T19:37:36.608-07:00"Many have argued that it was because of Cana..."Many have argued that it was because of Canada’s successful bank branching system. That is most probably partly true"<br /><br />Then does this mean that the lack of branch banking in the US at onset of the Great Depression most probably partially contributed to more bank failures than would have occurred had branch banking been allowed?<br /><br />More on branching and bank failures: http://www.econ.yale.edu/seminars/echist/eh03/mitchener-033103.pdfJohn Snoreply@blogger.comtag:blogger.com,1999:blog-6245381193993153721.post-40253726922921313362012-09-14T06:51:45.027-07:002012-09-14T06:51:45.027-07:00Perhaps you should go back and read the Carr paper...Perhaps you should go back and read the Carr paper, I can tell you haven't. Perhaps you should read the Kryzanowski & Roberts reply to them while your at it.<br />JP Koninghttps://www.blogger.com/profile/02559687323828006535noreply@blogger.comtag:blogger.com,1999:blog-6245381193993153721.post-38230952012285917272012-09-13T21:51:08.393-07:002012-09-13T21:51:08.393-07:00(1) The Canadian bankers' association acted in...(1) The Canadian bankers' association acted in concert with the state, certainly in both 1907 and 1912.<br /><br />(2) As for Carr, J. L., Mathewson, G. F. and N. Quigley, <i>Ensuring Failure: Financial System Stability and Deposit Insurance in Canada</i> (1994), their view, as far as I can see, is that Canada's bank branching system was the main reason for stability - precisely what I am disputing above.<br /><br />Lord Keyneshttps://www.blogger.com/profile/06556863604205200159noreply@blogger.comtag:blogger.com,1999:blog-6245381193993153721.post-4499551425506464362012-09-13T15:22:30.462-07:002012-09-13T15:22:30.462-07:00I see you've edited out the CBA which is menti...I see you've edited out the CBA which is mentioned in Bordo's paper. You've also omitted to include anything from the Carr, Mathewson, and Quigley paper. To get a better picture of this complex issue you'd have to go far beyond what's in this post. JP Koninghttps://www.blogger.com/profile/02559687323828006535noreply@blogger.com