The Savings and Loan Industry: Current Problems and Possible Solutions

By Walter J. Woerheide | Go to book overview

regulatory environment. Organizational form conversions usually occur with mutuals converting to stocks. The major economic benefit would seem to be the ability to acquire additional net worth. It appears that this additional equity from the sale of the stock is used to support above-average growth in deposits and total assets.

There are unquestionably some economic inequities which occur with organizational form conversions. But such conversions should be encouraged because of the overwhelming evidence that stock associations are on average more efficient than mutual associations.


NOTES
1.
'82 Savings and Loan Sourcebook, United States League of Savings Associations, Chicago, Illinois, p. 41.
2.
I use the word "ostensibly" because it is certainly possible that mergers may occur due to noneconomic motives such as managers wishing to build empires. We will, however, limit ourselves to economic considerations for mergers.
3.
Eugene F. Brigham and R. Richardson Petit, "Effects of Structure on Performance of the Savings and Loan Industry," in Irwin Friend (ed.), Study of the Savings and Loan Industry, Washington, D.C., Government Printing Office, 1969, p. 1069.
5.
The full study is provided in William Bradford, Mergers in the Savings and Loan Industry, Michigan Business Reports, Number 59, Division of Research, Graduate School of Business Administration, University of Michigan, 1977; but selected portions of the study are provided in William Bradford, "Savings and Loan Association Mergers: Analysis of Recent Experience," Review of Business and Economic Research, Fall 1977, pp. 1- 18; and William Bradford, "The Performance of Merging Savings and Loan Associations," Journal of Business, January 1978, pp. 115-25.
6.
David P. Rochester and Walter P. Neeley, "New Evidence of Synergy from Merging Savings and Loan Associations," a paper presented at the November 1981 Southern Finance Association annual meeting in New Orleans, Louisiana.
7.
Bradford, Mergers, p. 52.
11.
Bradford, "Savings and Loan," p. 13.
12.
Bradford, "Performance," p. 118.
13.
Ibid.
15.
Ibid.
16.
Rochester and Neely, "New Evidence," p. 10.
17.
It is certainly possible that the differences in results between Bradford's and RN's works are due to the different time periods used. But I do not think the changes in economic conditions between the 1969 to 1974 period and 1976 are all that are significant.
18.
Rochester and Neely, "New Evidence," p. 15.
19.
Bradford, Mergers, p. 32.

-184-

Notes for this page

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this page

Cited page

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited page

Bookmark this page
The Savings and Loan Industry: Current Problems and Possible Solutions
Table of contents

Table of contents

  • Title Page iii
  • Contents vii
  • Tables ix
  • Acknowledgments xi
  • Introduction xiii
  • Note xv
  • Abbreviations xvii
  • 1 - History of the Federal Home Loan Bank System 3
  • Notes 23
  • 2 - The Determinants of Profitability for Savings and Loans 28
  • 3 - Measuring the Interest Rate Risk Exposure of Savings and Loans 49
  • Notes 67
  • 4 - Alternative Mortgage Instruments 70
  • Notes 97
  • 5 - Financial Futures and Forward Commitments 104
  • Notes 121
  • 6 - Consumer Lending 124
  • Notes 135
  • 7 - The Elimination of Interest Rate Ceilings 138
  • Notes 148
  • 8 - The Introduction of Now Accounts 152
  • Notes 160
  • 9 - Mergers and Conversions 163
  • SUMMARY AND CONCLUSIONS 184
  • 10 - The Future 189
  • Notes 195
  • Bibliography 197
  • Index 211
  • About the Author 217
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this book

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this book
  • Bookmarks
  • Highlights & Notes
  • Citations
/ 224

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.