{"id":11032,"date":"2013-09-17T06:20:36","date_gmt":"2013-09-17T04:20:36","guid":{"rendered":"http:\/\/www.w-t-w.org\/en\/?p=11032"},"modified":"2013-09-17T06:23:52","modified_gmt":"2013-09-17T04:23:52","slug":"what-happens-when-banks-comply-with-capital-requirements","status":"publish","type":"post","link":"https:\/\/www.w-t-w.org\/en\/what-happens-when-banks-comply-with-capital-requirements\/","title":{"rendered":"What Happens When Banks Comply With Capital Requirements"},"content":{"rendered":"<p>The Bank for Financial Settlements issued a<strong><a href=\"http:\/\/www.w-t-w.org\/en\/wp-content\/uploads\/2013\/09\/r_qt1309e.pdf\" target=\"_blank\"> quarterly report <\/a><\/strong>which shows us what happens.<\/p>\n<ul>\n<li>Banks are better capitalized.<\/li>\n<li>They are not cutting back on lending.**<\/li>\n<li>They <i>are<\/i> cutting back on &#8220;other income,&#8221; which includes (among other things) sorts of income that lots of people find naughty, prop trading and so forth.<\/li>\n<li>Shareholders, meanwhile, are getting less cash back than they used to.<\/li>\n<li>They&#8217;re also getting lower returns: Return on assets is down 27 percent, and leverage is also down (which is what higher capital ratios mean), so return on equity is down by over 60 percent. \u00a0 <a href=\"http:\/\/www.w-t-w.org\/en\/wp-content\/uploads\/2013\/09\/r_qt1309e.pdf\"><br \/>\n<\/a><\/li>\n<\/ul>\n<p style=\"text-align: center\"><strong><a href=\"http:\/\/www.w-t-w.org\/en\/wp-content\/uploads\/2013\/09\/What-Happens-When-Banks-Are-Boring.pdf\" target=\"_blank\">What Happens When Banks Are Boring<\/a><\/strong> <a href=\"http:\/\/www.w-t-w.org\/en\/what-happens-when-banks-comply-with-capital-requirements\/small-business-loans-up\/\" target=\"_blank\" rel=\"attachment wp-att-11035\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-medium wp-image-11035\" alt=\"Small Business Loans Up\" src=\"http:\/\/www.w-t-w.org\/en\/wp-content\/uploads\/2013\/09\/Small-Business-Loans-Up-300x277.jpg\" width=\"300\" height=\"277\" srcset=\"https:\/\/www.w-t-w.org\/en\/wp-content\/uploads\/2013\/09\/Small-Business-Loans-Up-300x277.jpg 300w, https:\/\/www.w-t-w.org\/en\/wp-content\/uploads\/2013\/09\/Small-Business-Loans-Up-324x300.jpg 324w, https:\/\/www.w-t-w.org\/en\/wp-content\/uploads\/2013\/09\/Small-Business-Loans-Up.jpg 354w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Bank for Financial Settlements issued a quarterly report which shows us what happens. Banks are better capitalized. They are not cutting back on lending.** They are cutting back on &#8220;other income,&#8221; which includes (among other things) sorts of income &hellip; <a href=\"https:\/\/www.w-t-w.org\/en\/what-happens-when-banks-comply-with-capital-requirements\/\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[23,13],"tags":[],"class_list":["post-11032","post","type-post","status-publish","format-standard","hentry","category-entrepreneurs","category-finance"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.w-t-w.org\/en\/wp-json\/wp\/v2\/posts\/11032","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.w-t-w.org\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.w-t-w.org\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.w-t-w.org\/en\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/www.w-t-w.org\/en\/wp-json\/wp\/v2\/comments?post=11032"}],"version-history":[{"count":3,"href":"https:\/\/www.w-t-w.org\/en\/wp-json\/wp\/v2\/posts\/11032\/revisions"}],"predecessor-version":[{"id":11039,"href":"https:\/\/www.w-t-w.org\/en\/wp-json\/wp\/v2\/posts\/11032\/revisions\/11039"}],"wp:attachment":[{"href":"https:\/\/www.w-t-w.org\/en\/wp-json\/wp\/v2\/media?parent=11032"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.w-t-w.org\/en\/wp-json\/wp\/v2\/categories?post=11032"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.w-t-w.org\/en\/wp-json\/wp\/v2\/tags?post=11032"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}