Keywords
Savings and loan associations--Law and legislation; Federal government--Economic aspects; Canada
Document Type
Article
Abstract
This article addresses the impact of substantive policy on federal arrangements in the regulation of Canadian loan and trust companies. It is argued that reliance on market-suppressing policies (flat-rate based deposit insurance and selective bail-outs of depositors in the event of institutional failure) has undermined the value of competitive federalism in this area, and has spawned highly contentious policy initiatives such as Ontario's Equals Approach. To redress the federalism problems in the regulation of loan and trusts, a useful starting point would be the enhancement of market forces in substantive policy. Here, it is argued that the commitment to secrecy regulation by financial institution regulators has impeded this enterprise.
Creative Commons License
This work is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License.
Citation Information
Daniels, Ronald J..
"Bad Policy as a Recipe for Bad Federalism in the Regulation of Canadian Financial Institutions: The Case of Loan and Trust Companies."
Osgoode Hall Law Journal
31.3 (1993)
: 543-587.
DOI: https://doi.org/10.60082/2817-5069.1687
https://digitalcommons.osgoode.yorku.ca/ohlj/vol31/iss3/2