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An In-depth Analysis of New England Mutual Savings Banks, 1870-1914

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Abstract

Scholars have studied the U.S. banking systems of the late 19th century, but the presence and influence of mutual savings banks has largely gone unexamined. A new annual database of New England banks shows that mutual savings banks had a significant presence in the postbellum banking system. Mutual savings banks accounted for about 75 percent of the region's total bank deposits and largely avoided financial panics. The banks seemed to have complemented rather than competed with national banks. Mutual savings bank growth was correlated with agriculture and urbanization, whereas national bank growth was correlated with manufacturing. Mutual savings banks also channeled significant funds to national banks through the interbank network.

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  • Jaremski, Matthew & Plastaras, Brady, 2015. "An In-depth Analysis of New England Mutual Savings Banks, 1870-1914," Working Papers 2015-02, Department of Economics, Colgate University, revised 12 Feb 2015.
    • Handle: RePEc:cgt:wpaper:2015-02
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    File URL: https://digitalcollections.colgate.edu/islandora/object/islandora%253A4722
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    References listed on IDEAS

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    More about this item

    Keywords

    Mutual Savings Banks; Bank Stability; National Banking Era; Bank Competition;
    All these keywords.

    JEL classification:

    • N21 - Economic History - - Financial Markets and Institutions - - - U.S.; Canada: Pre-1913
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill

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