Banking Review2005 VOLUME 17, NO. 4
The U.S. Federal Financial Regulatory System:
Restructuring Federal Bank Regulation (page 1)
by Rose Marie Kushmeider
Most observers of the U.S. financial regulatory system would agree that if it did not exist, no one
would invent it. Most, however, would also admit that the system–despite all its faults–has served
both the financial services industry and consumers well. This paper looks at arguments for and
against reform in the context of changes taking place within the industry and around the world in
other financial regulatory systems.
Consolidation in the U.S. Banking Industry:
Is the “Long, Strange Trip” About to End? (page 31)
by Kenneth D. Jones and Tim Critchfield
Consolidation has been an enduring trend in the U.S. banking industry for more than two decades.
This article provides an overview of the structural changes that have occurred and explores the
empirical research to determine how consolidtion has affected such things as asset concentration,
competition, banking efficiency and profitability, shareholder value, and the availability and pricing
of banking services. Finally, the authors speculate on how the current forces of change might affect
the industy’s structure going forward.
The views expressed are those of the authors and do not necessarily reflect official positions of the Federal Deposit Insurance
Corporation. Articles may be reprinted or abstracted if the FDIC Banking Review and author(s) are credited. Please provide the
FDIC’s Division of Insurance and Research with a copy of any publications containing reprinted material.
Acting Chairman Martin J. Gruenberg
Director, Division of Insurance Arthur J. Murton
and Research
Deputy Director Donald Inscoe
Managing Editor Jack Reidhill
Editorial Committee Christine E. Blair
Valentine V. Craig
Rose M. Kushmeider
Publication Manager Geri Bonebrake
The U.S. Federal Financial Regulatory System:
Restructuring Federal Bank Regulation (page 1)
by Rose Marie Kushmeider
Most observers of the U.S. financial regulatory system would agree that if it did not exist, no one
would invent it. Most, however, would also admit that the system–despite all its faults–has served
both the financial services industry and consumers well. This paper looks at arguments for and
against reform in the context of changes taking place within the industry and around the world in
other financial regulatory systems.
Consolidation in the U.S. Banking Industry:
Is the “Long, Strange Trip” About to End? (page 31)
by Kenneth D. Jones and Tim Critchfield
Consolidation has been an enduring trend in the U.S. banking industry for more than two decades.
This article provides an overview of the structural changes that have occurred and explores the
empirical research to determine how consolidtion has affected such things as asset concentration,
competition, banking efficiency and profitability, shareholder value, and the availability and pricing
of banking services. Finally, the authors speculate on how the current forces of change might affect
the industy’s structure going forward.
The views expressed are those of the authors and do not necessarily reflect official positions of the Federal Deposit Insurance
Corporation. Articles may be reprinted or abstracted if the FDIC Banking Review and author(s) are credited. Please provide the
FDIC’s Division of Insurance and Research with a copy of any publications containing reprinted material.
Acting Chairman Martin J. Gruenberg
Director, Division of Insurance Arthur J. Murton
and Research
Deputy Director Donald Inscoe
Managing Editor Jack Reidhill
Editorial Committee Christine E. Blair
Valentine V. Craig
Rose M. Kushmeider
Publication Manager Geri Bonebrake