Journal Article

Two key issues concerning the supervision of bank safety and soundness

Abstract: This commentary focuses on two specific issues. The first asks, What are the market failures that actually create the need for the public regulation of bank safety and soundness? The second issue concerns the safety and soundness issues created by the two mortgage government-sponsored enterprises, Fannie Mae and Freddie Mac, whose very large financial obligations pose a serious systemic risk threat to U.S. financial markets.

Keywords: Banks and banking; Bank supervision; Government-sponsored enterprises;

Bibliographic Information

Provider: Federal Reserve Bank of Atlanta

Part of Series: Economic Review

Publication Date: 2007

Issue: Q1-2

Pages: 114-117

Order Number: v. 92, nos. 1-2