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Preventing Banking Crises in the Future: Lessons from Past Mistakes
By George G. Kaufman
This article appeared in the Summer 1997 issue of The Independent Review


Instability is not an inherent feature of the banking system, but is a consequence of mispriced deposit insurance and other government policies. To foster a truly safe and sound banking system, policymakers must better understand the business of banking and the real causes and effects, as opposed to the popular mythology, of bank failures.

Other Independent Review articles by George G. Kaufman
    Winter 2003   What Is Systemic Risk, and Do Bank Regulators Retard or Contribute to It?

Volume 2 Number 1
Summer 1997

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