The credit crisis has reduced consumer and business access to credit and stifled economic growth. To date, the political response has consisted of one-time stimulants and federal spending - which may have prevented economic calamity, but will not provide for long-term economic recovery. For long-term recovery, banks need to increase lending, which will allow companies to grow, thus spurring private-sector employment, encouraging consumer confidence, and initiating a real estate recovery.

This simple axiom illustrates the conundrum that banks are currently facing. How can banks grow loans when one-size-fits-all regulatory stances are inhibiting the economic recovery by decreasing the banking industry's ability and willingness to lend?

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