Rejoinder to Davidson on the Ethics of Loan Maturity Mismatching and Fractional Reserve Banking

Authors

  • Walter E. Block
  • William Barnett

DOI:

https://doi.org/10.30800/mises.2015.v3.777

Keywords:

Fractional reserves, Banking, Loan maturity mismatching

Abstract

Davidson (2014) takes the position that there is nothing unethical about loan maturity mismatching, particularly when a bank borrows money for a shorter time horizon than when it lends it out. The present paper takes issue with her position, and maintains that not only is this practice unethical, it should be outlawed.

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Published

2015-12-01

How to Cite

1.
Block WE, Barnett W. Rejoinder to Davidson on the Ethics of Loan Maturity Mismatching and Fractional Reserve Banking. MisesJournal [Internet]. 2015 Dec. 1 [cited 2025 Apr. 4];3(2):411-25. Available from: https://misesjournal.org.br/misesjournal/article/view/777

Issue

Vol. 3 No. 2 (2015)

Section

Economics, Methodology and Praxiology

License

 

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  This Journal is licensed under a Creative Commons Attribution 4.0 International License.