Sunday, 25 May 2014
38 specious arguments against full reserve banking.
Since Martin Wolf expressed sympathy with full reserve banking a few weeks ago, I’ve been much amused at the sheer number of specious arguments put against the idea. Plus a number of such arguments pre-date Wolf’s article of course, e.g. those put by the Vickers commission.
So I’ve assembled 38 of these motley arguments (plus 4 motley arguments FOR full reserve) and put them all together in one paper, and demolished them all. Or at least I tried to.