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Abstract

Rapid geographic deregulation of the financial services industry will probably continue in response to technological advances and legislative actions at the State and possibly Federal levels. The ultimate effect of bank deregulation on rural financial markets remains uncertain. Some analysts fear that rural areas will be stripped of their locally owned community banks and left to the whims of large regional and national banking firms. Others argue that geographic deregulation will benefit rural borrowers by increasing the range of financial services provided by banks operating in rural communities.

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