A Brief History of Bank Capital Requirements in the United States

Joseph Haubrich

Economic Commentary, 2020, vol. 2020, issue 05, 6

Abstract: Modern capital requirements can appear to be overly complex, but they reflect centuries of practical experience, compromises between different regulators, and legal and financial systems that developed over time. This Commentary provides a historical perspective on current discussions of capital requirements by looking at how the understanding of bank capital and the regulations regarding its use have changed over time.

Date: 2020
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DOI: 10.26509/frbc-ec-202005

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