US Model

In contrast to the fundamentally universal structure of the German banking system, the characteristics of the US banking system have undergone significant evolution over the past two centuries, resulting in a complex dual system (federal and state) where banking has coexisted alongside capital markets and insurance enterprises. The legal framework has frequently changed in response to various crises. This chapter examines the historical and philosophical underpinnings of the US banking system, examining topics such as branching versus unit banking and the system's historical challenges in financing industry. It also investigates bank holding company regulations and provides a thorough examination of the US banking landscape, encompassing commercial banks, thrifts, credit unions, and other non-bank entities. Lastly, it evaluates the structural organization of financial conglomerates.