Article: A reexamination of the costs and benefits of Federal deposit insurance.

Mention of federal deposit insurance evokes two disparate responses in today's financial environment. Bankers and the public seem to view federal deposit insurance in an overall favorable light. While bankers are concerned about increased premiums, they don't seem to favor major changes in our federal deposit insurance system. Business economists and the academic community, on the other hand, are far more critical of the current structure of federal deposit insurance. This paper examines today's federal deposit insurance system by summarizing recent thinking in the area of perceived costs and benefits of federal deposit insurance.

FEDERAL DEPOSIT insurance in ...

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