312 
BANKING STANDARDS 
Table 184 summarizes the results secured from pairing ratios 
of gross earnings and of net earnings with ratios of total expense, 
the former being the dependent variables and the latter the inde- 
pendent variable. 
From the foregoing presentations it is patent that, on the 
average and in general, banks can increase their net earnings 
by increasing their gross earnings, provided their total expenses 
are not increased. But as a general rule, such increases take 
place. Similarly, they may increase them by decreasing their 
total expense if they do not decrease their gross earnings. But 
as a general rule, such decreases occur. Accordingly, which proc- 
ess—to increase gross earnings or to decrease expenses—seems 
to offer the better chance of gaining the desired result? An answer 
to this question is given in Chapter XVII.