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U.S. banking regulations prevent banks from owning majorcorporations. In other countries, the banking industry is much moreintegrated with the corporate sector, with banks owningcorporations or being owned by them, allowing easier finance forcorporations. Is the United States at a competitive disadvantagebecause of its regulations? What would be the benefits and costs ifthe United States were to liberalize its regulations and allowgreater integration of banking and commerce?
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