Housing and banking industry problems are seen as the result of interaction between long waves of growth and decline in the U.S. economy and structured conflict over financial regulation between large commercial banks and a shifting alliance of other social groups. Contemporary problems of affordability, price volatility, and credit crunches flow from increasing financial fragility and economic stagnation. Policies to democratize finance and create new financial institutions are considered. The need for financial reform is discussed in terms of normal crisis tendencies in the financial system and the problem of credit allocation. 35 references and 12 notes