
Why Concentration in the Banking Industry Threatens Our Economy - Flemlord
http://www.nakedcapitalism.com/2009/09/guest-post-why-concentration-in-the-banking-industry-threatens-our-economy.html
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tezza
I actually think _lack_ of Concentration in the Banking industry is a bigger
problem ;)

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jbrun
The problem with banking is the lack of regulation. See Canada as an example,
we have 6 banks and no bailouts. The free-market does not work all the time
and banks are not like other companies - as such, they should be heavily
controlled by regulation to ensure stability and access to finance.

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gojomo
What specific regulations made the biggest difference?

The biggest factor I've read about is that Canada -- as a society and
government -- never got on the "promote home ownership at all costs"
bandwagon. There's no equivalent of Fannie and Freddie, and the traditional
mortgage requirement of ~20% down remains. Thus Canada hasn't had the same
sort of housing bubble, nor as many dubious mortgages, nor widespread mortgage
securitization.

