Tag Archives: too big to fail

Titans of Banking, Economics and Finance Call for Breakup of ‘Too Big to Fail’ Banks

The Big Picture compiled an impressive list of noted titans in banking, economics and finance calling for the break up of ‘Too Big to Fail’ banks. “The following bankers are calling for the big banks to be broken up: -Former … Continue reading

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‘Too Big to Fail Banks’ are Much Bigger

Neil M. Barofsky, the special inspector general of the Troubled Asset Relief Program (TARP), observes, “The top banks are 23 percent larger than they were before the crisis. They now hold more than $8.5 trillion in assets, the equivalent of … Continue reading

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Former Citigroup Chairman: Separate Investment Banking from Banking

Guess who’s added his name to the growing list of notable people suggesting that investment banking needs to be separated from banking? No less than former Citigroup Chairman and CEO Sanford Weill this morning on CNBC’s “The Squawk Box.” “What … Continue reading

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A Must Read: “Failing to Break Up the Big Banks is Destroying America”

Barry Ritholtz has written a very compelling and scary article on the “Too Big to Fail” banks. I highly recommend it. I place the article in the “must read” category. His article has six major, well-documented, sections: The Size of … Continue reading

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Top GOP Appontee Worried about Banks

I’ll tell you about Sheila Bair in a minute but, most importantly, this is what she has to say about the alleged corruption in the banking system: “I worry that the public is getting cynical. One of the reasons I … Continue reading

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Are Banks Banksters?

Can you name your banker? I can’t. Yes, I know the name of my drive-up teller, but it’s been years since I knew the name of any key decision-makers in my bank. I recall when my wife and I bought … Continue reading

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A Must Read Article on Mega Banks

Dr. Peter T Treadway, Chief Economist, CTRISKS Rating, LTD, Hong Kong, writes a long but very worthwhile article on banking and  banks (i.e., regulation, Basel III, Dodd-Frank, LIBOR,  too big to fail, risk). His article is very informative. I highly … Continue reading

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The Cause of the Financial Crisis: Fraudulent Creation of 3,000 Times Leverage On House Prices by the Big Banks

Ritholtz has a great article on the cause of the great Recession. It’s captured below. Insane Levels of Leverage by the Too Big to Fail Banks – Not Deadbeat Borrowers – Caused the Financial Crisis The Cause of the Financial … Continue reading

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Fallacies, Irrelevant Facts, and Myths in the Discussion of Capital Regulation: Why Bank Equity is Not Expensive

Wondering about the need and benefits of bank regulations and especially adequate capital requirements? A very good and timely article on banks’ capital requirements and fewer economic distortions is provided by Admati et al. (2010). Abstract We examine the pervasive … Continue reading

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Banks – Too Big to Fail or Too Big for Our Own Good?

There is little question that banks are an important and vital component of a robust, capitalist system. Since 2008 however the role of banks in creating the the crisis which led to the Great Recession has caused a re-examination of … Continue reading

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