EconPapers    
Economics at your fingertips  
 

Interest Rates Under the U.S. National Banking System

Bruce Champ (), Neil Wallace () and Warren Weber

Economic History from University Library of Munich, Germany

Abstract: According to previous studies, the demand-liability feature of national bank notes did not present a problem for note-issuing banks because the nonbank public treated notes and other currency as perfect substitutes. However, that view, when combined with nonbindingness of the collateral restriction a against note issue, itself an implication of the fact that not all eligible co collateral was used as collateral, implies that the safe short-term interest rate is pegged at the tax rate on note circulation. Since evidence on short- term interest rates is inconsistent with such a peg, that view must be rejected.

JEL-codes: N (search for similar items in EconPapers)
Date: 1993-10-01
Note: 19 pages, text WordPerfect format, figures available from Weber
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6) Track citations by RSS feed

Downloads: (external link)
https://econwpa.ub.uni-muenchen.de/econ-wp/eh/papers/9310/9310001.doc.gz (application/msword)
https://econwpa.ub.uni-muenchen.de/econ-wp/eh/papers/9310/9310001.pdf (application/pdf)
https://econwpa.ub.uni-muenchen.de/econ-wp/eh/papers/9310/9310001.ps.gz (application/postscript)

Related works:
Journal Article: Interest rates under the U.S. national banking system (1994) Downloads
Working Paper: Interest rates under the U.S. national banking system (1993) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wpa:wuwpeh:9310001

Access Statistics for this paper

More papers in Economic History from University Library of Munich, Germany
Bibliographic data for series maintained by EconWPA ().

 
Page updated 2019-04-13
Handle: RePEc:wpa:wuwpeh:9310001