摘要：This paper is based on the recent political movement in quite a few states of the United States of America for establish ing state-owned banks. The authors first review and summarize these ideas and initiatives across the US states,and review the relevant academic literature on government-owned banks. Then,the paper focuses on applying this concept of a state-owned bank to the State of California,and estimate how much California can save on its cost of debt by establishing a state-owned bank. Using two different models,the authors calculate how much a difference a state-owned bank can make on the California debt outstanding over a number of years into the future. Finally,the paper discusses other advantages a state-owned bank could possibly bring to California.
