19th-century financial crises show how today's regulators could help repair the economy
- Written by Lucy Newton, Professor in Business History, Henley Business School, University of Reading
A bank failure wipes out the money available to its customers and freezes any capital that’s already in circulation. Depositors, borrowers and owners or shareholders all suffer as a result, as does wider economic activity and often the communities or business sectors that the banks serves.
These issues can become all the more concentrated in...
