Banking crises are always delicate to navigate for supervisory authorities. They are called upon to minimize the likelihood of collapses and contain the fallout. This responsibility entails a reflection on the causes of the crises, on how they can be identified more quickly and on how on- and off-site intervention can be improved.
He applied his convictions about the power of market forces to the banking sector. In a 1935 article that is partly included in the selection, he showed his distrust for the views of a fictitious character, the “rationaliser”, who wanted to regulate from above the banking industry all the way down to dictating what the number of banks should be.