Is financial modernization anything new?
The impact of the Gramm-Leach-Bliley Act on banks, community groups and consumers
Last fall Congress passed legislation that will dramatically alter the financial services industry in the United States. Carol Lewis explains how the sweeping reforms in the Gramm-Leach-Bliley Act impact bank holding companies, banks, community groups, and consumers.
The Financial Modernization Act: evolution or revolution?
The Gramm-Leach-Bliley Act (GLBA) removed the barriers that separated commercial banking from investment banking, merchant banking, and insurance activities. Did this legislation revolutionize the financial services industry by allowing Financial Holding Companies (FHCs) to exploit revenue efficiencies and cost economies, or did it merely formalize an evolutionary process of deregulation that was already well underway? Our evidence refutes the notion that the GLBA was a revolutionary event, at least in the short run. Using a combination of market and accounting data, we find that, to date, ...
Technology and security policy
The separation of banking and commerce revisited