Article Abstract:
Central bankers identified forces which in the 1980s work for and against changes in payment systems. Forces for change appear to be stronger than those against, but they primarily affect the providers of payment services, not the users. Findings can be analyzed domestically, where households tend to remain against change, and internationally, where settling international payments will continue to be primarily a banking issue. Domestic changes may be influenced by decisions made in the banking industry relating to whether to accept the status quo or to encourage change.
User Contributions:
Comment about this article or add new information about this topic:
Article Abstract:
FedWire, the wire transfer network of the Federal Reserve, showed rapid growth in the early 1970s and was available to all depository institutions beginning in 1981. FedWire use is examined in terms of economic factors, such as short-term interest rates and general economic conditions. Statistics indicate that volume is inversely related to interest rates, inelastic in regard to per unit fees, and directly related to GNP quarterly fluctuations.
User Contributions:
Comment about this article or add new information about this topic:
Article Abstract:
In evaluating the impact of management changes on bank profitability, emphasis tends to be placed on the previous experience of management. As it is often difficult to separate management performance from external economic factors, a sample of banks was examined to test the practice. Results indicate that management skills can be transferred, and that management experience is a good predictor of bank performance.
User Contributions:
Comment about this article or add new information about this topic: