Economics Quote by Frederic Mishkin Mishkin Frederic
““Politicians have often declared that unbridled competition among financial intermediaries promotes failures that will harm the public. Although the evidence that competition does this is extremely weak, it has not stopped the state and federal governments from imposing many restrictive regulations.””
About This Quote
Source Speech: Economic Policy Forum, 2015
Competition among banks is often blamed for crises, but evidence is weak; yet regulators still impose many rules.
In simple terms: Regulation persists despite weak evidence of competition harms.
Key Takeaway
Question evidence before over‑regulating.
Themes
regulation
competition
finance
Mood
cautious
critical
Type
analytical
policy
When to use this quote
- banking oversight
- policy making
- financial stability
- consumer protection
Key Concepts
public policy
risk management
Questions to Reflect On
- Are all restrictions necessary?
- How to balance safety and competition?
A Different Perspective
Regulations can stifle innovation and increase costs.
