DISCUSSION.

The article discusses a paper that examined the effectiveness of banking regulation. The author contends that the paper did not offer useful information in explaining the re-regulation phase of the regulatory cycle. The author also points out that the paper did not effectively address the costs of de-regulation, the benefits of regulation or give an accurate portrayal of bankers. The author credits the paper with providing an overview of the rapidly changing financial environment; however, he adds that it could have been improved had it included a more thorough discussion of business risk.