A Comment on Barnett and Block on Time Deposit and Bagus and Howden on Loan Maturity Mismatching

Journal of Business Ethics 104 (2):219-221 (2011)
Abstract
In Time Deposits, Dimension, and Fraud (2009), William Barnett and Walter Block argue that by borrowing short and lending long there is an over issuance of property rights. Their article, however, does not fully extend the consequences of their contribution. Once this is done, it becomes clearer that their argument suits a great impediment to banking, becoming a possible reason to support rather than to oppose fractional reserve banking. Bagus and Howden (J Bus Ethics 90(3):399–406, 2009) comment on Barnett and Block (J Bus Ethics 88(4):711–716, 2009), the authors claim that while maintaining the illegitimacy of fractional reserve deposits, borrowing short and lending long it is actually not illegitimate. An extension on Bagus and Howden (2009) will show that their line of argumentation can be applied as a defense of fractional reserve banking as well
Keywords Time deposits  Fractional reserve banking  Maturity mismatching
Categories (categorize this paper)
Options
 Save to my reading list
Follow the author(s)
My bibliography
Export citation
Find it on Scholar
Edit this record
Mark as duplicate
Revision history Request removal from index
 
Download options
PhilPapers Archive


Upload a copy of this paper     Check publisher's policy on self-archival     Papers currently archived: 9,357
External links
  • Through your library Configure
    References found in this work BETA
    Citations of this work BETA
    Similar books and articles
    Analytics

    Monthly downloads

    Added to index

    2011-11-03

    Total downloads

    2 ( #258,237 of 1,088,810 )

    Recent downloads (6 months)

    1 ( #69,666 of 1,088,810 )

    How can I increase my downloads?

    My notes
    Sign in to use this feature


    Discussion
    Start a new thread
    Order:
    There  are no threads in this forum
    Nothing in this forum yet.