This article, “the Savings and Stability of Public Banking” is required reading yet contains a strategic error for learning more about the Alaska State Bank.
The Alaska State Bank Advocate critique of this article identifies the error of excluding the strategic principle contained in President Abraham Lincoln’s National Banking Act of 1863.
Abraham Lincoln, while in the Illinois legislature, learned the hard way that a state bank that does not have the ability to rediscount loans and bonds through a national bank is at a severe disadvantage.
The missing strategic principle applied to our modern banking system is that the United States Federal Reserve must participate in leveraging state bank assets to guarantee financial stability and long-term economic development.
Learn by reading this article, and let us work together to help build the political consensus necessary to create the Alaska State Bank.
