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Continental Divide: The Canadian Banking and Currency Laws of 1871 in the Mirror of the United States

Published online by Cambridge University Press:  18 February 2015

Andrew Smith
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In the wake of the 2008 financial crisis, international observers praised the stability of Canada's banks. When financial institutions in the United States and the United Kingdom collapsed, Canada did not experience any bank failures. The World Economic Forum's Global Competitiveness Report rated Canada's banking system as the most sound in the world. Historically, bank failures have been quite rare in Canada. Some authors argue that the stabilizing features of Canada's financial system were established in the first five years after the creation of the Canadian nation-state in 1867. This paper will examine the making of the Canadian banking law in 1871, an event widely regarded as a crucial turning point in Canadian financial history.

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Enterprise & Society , Volume 13 , Issue 3 , September 2012 , pp. 455 - 503
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Copyright © The Author(s) 2012. Published by Cambridge University Press on behalf of the Business History Conference. All rights reserved.

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References

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