"You need basic EDLP base pricing for a draw, but you can't live with EDLP alone without promotional items and events such as truckload sales or buy one, get one free," says Jack Coppinger, president of Super Discount Markets
, operator of Cub stores in the Atlanta area.
If these commercial bills were guaranteed against default by an acceptance house, exporters, in turn, could freely sell these sterling bills to a London bank (discount house) at the world's lowest open-market rates of interest."(44) More succinctly, "London without its specialized discount market would be London without its greatness."(45)
According to Barry Eichengreen, the "London discount market's attraction was its safety, and it was safe because the discount houses could turn in the last resort to the Bank of England."(46) By contrast, the absence of a rediscount market for acceptances and other short-term instruments such as was facilitated by the central banks of other leading nations obstructed U.S.
financial markets produced long-term rates lower than London's, the "lack of a central bank and a discount market for bankers' acceptances meant that the United States could not compete on the field where the contest of international short-term finance was played."(48)
He advocated the development of a European-styled discount market for acceptances supported by a central reserve-holding agency that would stand ready to absorb the surplus stock of eligible acceptances from the market.