Main Content

Bank Activities and Structure

  • Finance and Society: A Historical Perspective

    Robert E Wright

    Throughout history, banking and finance have played important roles in the development of society. Economists have only recently begun to appreciate the banking system’s value to the economy.

  • A Dramatic Departure? National Treatment of Foreign Banks

    Derek M Bush

    One of the most controversial elements of the Federal Reserve’s implementation of enhanced prudential standards for FBOs was its adoption of a new structural and regulatory requirement for FBOs with $50 billion or more in U.S. non-branch assets.
  • Macroeconomic Modeling and Financial Stability: Lessons from the Crisis

    Andrew W Lo

    The dynamic stochastic general equilibrium model (DSGE) marked a major milestone by capturing the dynamic change of economic variables over time. However, many DSGE models were exposed as having omitted critical structural linkages relevant to the financial crisis. To address these deficiencies, existing DSGE models should be enhanced to better incorporate the role of the financial sector and financial markets. In addition, these models should reexamine key micro-foundations of the model and consider behavioral components.
  • For The Record

    In this issue, BB&T CEO Kelly King argues that, while being in the “sweet spot” should have some advantages for regional banks, the success of an institution will not be dictated solely by its size. Instead, it will be a function of how well an institution manages risks and how well it produces a return for its shareholders.
  • Big Fish in small Ponds: Why Regional Banks Need Critical Mass

    Chris Mazingo, and Pradip K Patiath

    As regional banks find themselves competing with their larger counterparts in most markets, they must achieve critical mass across the majority of their individual footprints, continue to invest in local specialization and customer experience, and carefully manage their branch presence in order to optimize their performance.