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Why are bank highly regulated?

Updated: 4/28/2022
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14y ago

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· To protect the safety of the publics savings · To control the supply of money and credit in order to achieve a nations broad economy goals (high employment and low inflation) · To ensure equal opportunity and fairness in the publics access to credit and other vital financial services · To promote public confidence in the financial systems, so that savings flow smoothly into productive investment and payments for goods and services are made speedily and efficiently · To provide the government with credit, tax revenues, and other services · To help sectors of ther economy that have special credit needs (such as housing, small business, and agriculture · To control inflation · To reduce the bankruptcy rate

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