The S&L Debacle: Public Policy Lessons for Bank and Thrift Regulation

By Lawrence J. White | Go to book overview

CHAPTER TWELVE
Conclusion

It is difficult to write a conclusion to a book about the S&L debacle.

At one level, an important aspect of the S&L debacle has indeed concluded. As Chapter 7 indicated, the abusive actions by hundreds of thrifts in the mid-1980s have come to an end, although much of the costs of those actions are still being freshly recognized in the 1990s. Though the specific confluence of events that produced the S&L debacle of the 1980s are unlikely to recur, fundamental problems with thrift and bank regulation and deposit insurance remain and have not been repaired by the cleanup legislation of 1989. Substantial reforms of bank and thrift regulation and deposit insurance, along the lines advocated in Chapter 11, are vital for encouraging an efficient and flexible system of depository institutions, while also preventing new abuses and losses to the deposit insurance funds.

At another level, the complete saga of the S&L debacle, with its full ramifications and consequences, is not yet over. Updated estimates of the costs and numbers of failed thrifts will be headline news for many years to come. The Congress will likely have to re-address the costs of the cleanup in 1991 or 1992, and the general reform of depository regulation and insurance will be on the legislative agenda at the same time.

In addition, the technologies that underlie financial services-- telecommunications and data processing -- will continue to change and improve, with significant consequences for banks and thrifts. These improving technologies will mean a continued erosion of geographic and product-line barriers to competition; the securitization of assets, discussed later in the chapter, is one major facet of this change. The environment for banks and thrifts is sure to become more competitive, bringing further changes and adaptations. These changes will pose new challenges for depository regulation and insurance. The 1990s will be a decade of flux in financial services.

Nevertheless, a large number of important lessons can be learned from the 1980s experience of the thrift debacle. The extraction of

-251-

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 S&L Debacle: Public Policy Lessons for Bank and Thrift Regulation
Table of contents

Table of contents

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
/ 287

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.