Sunday, December 13, 2009

Back-asswards: Biggifying Too Big to Fail

What do we do in response to a financial crisis due in no small part to the systemic risk posed by institutions that by their very size prove essential to a functioning financial system? Gorge them on taxpayer funds so they get even bigger, while smaller banks without the benefit of implicit government guarantee are allowed to fail (as all insolvent businesses should):




From TARP Oversight Report via TBP.

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