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Economic Perspectives, Vol. 4, No. 2, 1978
Bank Failures
Public interest in bank failures has been renewed recently as a number of multimillion dollar banking firms have been declared insolvent. Legislators, who share the concern, have asserted that "the existing structure of regulation of banking institutions under Federal law . . . is incapable of insuring the safe and sound operation of the commercial banking system of the nation." Regulators have responded with increased bank surveillance and with "early warning systems" to guard against further failures.
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