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Britain, however, has ended up specialising in the ones you don't see as much of: defence aerospace, making drive shafts for cars, pills and drugs, designing chips that go into 94 per cent of the world's mobile phones. And so there's a danger that because it doesn't have a British flag on it, people won't realise that we actually do produce value. ↗
It is no wonder that bank capital is regulated. When borrowing and lending is profitable, it is tempting for banks to scale up their operations and to borrow and lend too much in relation to their capital, in effect reducing the effectiveness of the potential capital cushion. ↗
