This is “Innovation and Structure in Banking and Finance”, chapter 10 from the book Finance, Banking, and Money (v. 1.0). For details on it (including licensing), click here.

For more information on the source of this book, or why it is available for free, please see the project's home page. You can browse or download additional books there. You may also download a PDF copy of this book (8 MB) or just this chapter (835 KB), suitable for printing or most e-readers, or a .zip file containing this book's HTML files (for use in a web browser offline).

Has this book helped you? Consider passing it on:
Help Creative Commons
Creative Commons supports free culture from music to education. Their licenses helped make this book available to you.
Help a Public School
DonorsChoose.org helps people like you help teachers fund their classroom projects, from art supplies to books to calculators.

Chapter 10 Innovation and Structure in Banking and Finance

Chapter Objectives

By the end of this chapter, students should be able to:

  1. Explain why bankers and other financiers innovate.
  2. Explain how widespread unit banking in the United States affected financial innovation.
  3. Explain how the Great Inflation of the 1970s affected banks and banking.
  4. Define loophole mining and lobbying and explain their importance.
  5. Describe how technology changed the banking industry after World War II.
  6. Define traditional banking and describe the causes of its demise.
  7. Define industry consolidation and explain how it is measured.
  8. Define financial conglomeration and explain its importance.
  9. Define industry concentration and explain how it is measured.