Boring is Beautiful

May 13, 2009

The Times has a comfortingly boring piece up about small banks… Definitely worth reading:

To spend time with these Indiana community bankers is to step into an alternate universe, where everything sounds a little strange because it makes perfect sense. You hear things like, “If you don’t understand the risk you’re taking, don’t take it.” And, “We want to be around for decades, so we’re not focused on the next quarter.”

Forget “too big to fail.” These banks consider themselves too small to risk embarrassment. They are run by people who grew up in the towns where they work, and their main fear is getting into a financial jam that will shame them in the eyes of their neighbors.

Shame as an economic force. What a concept.

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One Response to “Boring is Beautiful”

  1. […] 14, 2009 While we’re on the topic of sound financial institutions and the role of shame, why not mention Norway? Norway’s relative frugality stands in stark […]

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