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:
“Is it not manifest that our academic institutions should have a wider scope; that they should not be timid and keep the ruts of the last generation, but that wise men thinking for themselves and heartily seeking the good of mankind, and counting the cost of innovation, should dare to arouse the young to a just and heroic life; that the moral nature should be addressed in the school-room, and children should be treated as the high-born candidates of truth and virtue?”
—Ralph Waldo Emerson (1803–1882)
“Have we no culture, no refinement,—but skill only to live coarsely and serve the Devil?—to acquire a little worldly wealth, or fame, or liberty, and make a false show with it, as if we were all husk and shell, with no tender and living kernel to us? Shall our institutions be like those chestnut burs which contain abortive nuts, perfect only to prick the fingers?”
—Henry David Thoreau (1817–1862)
“Understanding the spirit of our institutions to aim at the elevation of man, I am opposed to whatever tends to degrade them.”
—Abraham Lincoln (1809–1865)