Institutions
Free banking includes:
- Free entry of banking and fiduciary producers
- Freedom to issue banknotes (promissory notes issued by a bank payable to bearer on demand).
- Freedom to accept money on deposit to current account, and to pay and collect cheques for customers
- Freedom to borrow money on term deposit and other forms of secured and unsecured borrowing
- Freedom to lend money and otherwise invest the bank's assets
- Freedom to provide guarantees, documentary letters of credit, performance bonds and to incur other off balance sheet exposures.
Read more about this topic: Free Banking
Famous quotes containing the word institutions:
“So far as laws and institutions avail, men should have equality of opportunity for happiness; that is, of education, wealth, power. These make happiness secure. An equal diffusion of happiness so far as laws and institutions avail.”
—Rutherford Birchard Hayes (1822–1893)
“In abnormal times like our own, when institutions are changing rapidly in several directions at once and the traditional framework of society has broken down, it becomes more and more difficult to measure any type of behavior against any other.”
—John Dos Passos (1896–1970)
“I envy neither the heart nor the head of any legislator who has been born to an inheritance of privileges, who has behind him ages of education, dominion, civilization, and Christianity, if he stands opposed to the passage of a national education bill, whose purpose is to secure education to the children of those who were born under the shadow of institutions which made it a crime to read.”
—Frances Ellen Watkins Harper (1825–1911)