Posts filed under “Bailouts”
Can two senators end ‘too big to fail’? Barry Ritholtz Washington Post, May 10 2013 Last month, an unlikely pair of senators — Sherrod Brown, an Ohio Democrat, and David Vitter, a Louisiana Republican — introduced a non-binding resolution calling for the end of the implicit subsidies that “too big to fail” (TBTF)…Read More
The chart above comes from a piece penned by Bob Ivry, who explored the unfair advantages of the TBTF banks. Note the chart shows how the ratings agencies would change their views — and credit ratings — of TBTF banks without the implicit promise of a bailout when any of these banks screw up….Read More
> My Sunday Washington Post Business Section column is out. This morning, we look at the question: Can two senators end ‘too big to fail’? Here’s an excerpt from the column: “Just how much of a subsidy are the banks receiving? An International Montetary Fund Working Paper quantified it as creating an 80 percent…Read More
Sherrod Brown (D-Ohio), along with unlikely ally Sen. David Vitter (R-La.), is launching an effort to break up the big banks and release their hold on politicians and the American economy. But how will he manage such an arduous task? What is the Obama administration’s take on this? Are there any politicians willing to join in the effort to stop the “too big to fail” mentality and stop subsidizing the banks? What progressive efforts can be passed in the Senate?
Vitter interview on BLoomberg
“It is a smart, simple and tough piece of work that would protect taxpayers from costly rescues in the future. This means that the bill will come under fierce attack from the big banks that almost wrecked our economy and stand to lose the most if it becomes law.” -Gretchen Morgenson, NYT “It’s clear…Read More