As a result of the bank failures last spring (TIME, April 18, May 2), Japanese depositors are transferring their money from the small to the large banks and a well-defined movement is under way that threatens to reduce Japan's 1,300 banks to fewer than 200, according to despatches received last week from Tokyo.
This shifting of deposits, while weakening the smaller banks and forcing them to merge with the large institutions, has had the effect of giving the big banks immense cash surpluses, which in turn has made money easy at a time when...
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