October 20, 2008
U.S. Securities and Exchange Commission
In your study of how the choice of accounting methods affect a bank's balance sheet, I hope you will also be considering, in aggregate, how such changes affect M1 and other measures of our national money supply. I am concerned that mark-to-market methods can lead to rapidly shrinking money supplies and possible deflation- even when the Fed is being accommodative.
I hope this is of some benefit.
David V. Anderson
Republican Candidate for General Assembly
4th District, Rhode Island
"Socialism is a philosophy of failure, the creed of ignorance, and the gospel of envy. Its inherent virtue is the equal sharing of misery"