Ideal Banking System

Article English OPEN
Rao, P. Madhu Sudana (2013)
  • Publisher: Journal Of Business Management & Social Sciences Research
  • Journal: Journal Of Business Management & Social Sciences Research (issn: 2319-5614, eissn: 2319-5614)
  • Subject: Business Management; Financial Management
    acm: Hardware_MEMORYSTRUCTURES

There is need to understand how an idealized banking system should work a banking system not too different from what may emerge in the fairly near future in several developed countries.The key to understanding the supply of loanable funds (credit availability) is to understand the behavior of banks. Many argue that banks should behave in a risk averse manner. At the heart of the problem lies the approach to banking systems that assumes that focusing on higher standards and uniform regulation to ensure the safety of individual banks would make the banking system safer
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