Bank and Thrift Regulation: FDICIA Safety and Soundness Reforms Need to
Be Maintained (Testimony, 09/23/93, GAO/T-AIMD-93-5).

Congress, the administration, and bank and thrift regulators should be
extremely cautious in considering short-term measures to encourage more
liberal lending practices by insured institutions. Commercial banks
remain the dominant suppliers of credit to small- and medium-sized
businesses, which have become the main source of job growth in this
country.  According to the Census Bureau, most of the net increase in
employment during the 1980s occurred in companies with fewer than 100
workers.  In GAO's view, however, it would be imprudent to periodically
weaken and tighten bank regulation in response to recession and
inflation.

--------------------------- Indexing Terms -----------------------------

 REPORTNUM:  T-AIMD-93-5
     TITLE:  Bank and Thrift Regulation: FDICIA Safety and Soundness 
             Reforms Need to Be Maintained
      DATE:  09/23/93
   SUBJECT:  Banking regulation
             Bank management
             Lending institutions
             Financial institutions
             Bank examination
             Insured commercial banks
             Banking law
             Reporting requirements
             Financial disclosure reporting
             Economic growth
IDENTIFIER:  Economic Growth and Financial Institutions Regulatory 
             Paperwork Reduction Act of 1993
             Bank Insurance Fund
             BIF
             
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