Hancock, Diana; Wilcox, James A - In: Journal of Money, Credit and Banking 28 (1996) 4, pp. 870-908
The Federal Reserve System imposes caps and charges fees on the negative intraday balances in banks' reserve accounts. i.e., on daylight overdrafts. Our empirical results suggest that caps alone did little to reduce daylight overdrafts in the aggregate. By contrast, the 1994 imposition of fees...