American subsidies are justified as necessary to promote home ownership in the US. Indeed, the rate of home ownership in the US rose to 68 per cent by 2006. Yet, without these governmental subsidies, the rate of home ownership in Canada also rose to 68 per cent in 2006. This comparison suggests that the large American subsidies for home purchases have led to higher home prices in the US rather than significant increases in the rate of US home ownership.

If Glass-Steagall were reinstated, we would be recreating the short-term funding weakness that forced Bear Stearns and Lehman Brothers into insolvency.

By Ross Kerber. University economists are already teaching courses on the history of the financial crisis of 2008 and the policy responses that followed. Robert Pozen’s new book could become required reading.

“Too Big to Save? How to Fix the U.S. Financial System” (Wiley, $29.95), provides both a detailed look at the run-up to the financial system’s brush with disaster and many prescriptions in response.

By Robert Pozen. On Monday, President Barack Obama pressed 12 large US banks – all recipients of federal assistance – to increase their lending to businesses and consumers. In fact, during the third quarter of 2009, total loans at US banks fell by $210bn (€144bn, £129bn), or 3 per cent, the biggest quarterly decline since 1984.

By Robert Gavin. Robert Pozen, chairman of Boston mutual fund firm MFS Investment Management, recently published a new book, “Too Big to Save?,’’ which explores the global financial crisis and the steps needed to reform the US financial system.