When the next crisis hits, will we have a better way to close a failing financial giant?

In the aftermath of the 2008 financial crisis, a consensus quickly developed in Washington: no more bank bailouts.

Nobody — lawmakers, government officials, regulators and certainly not average Americans — was happy about the hundreds of billions of dollars of taxpayer money pumped into banks and other firms to prevent a financial meltdown.

Although the money eventually was repaid, with the federal government even earning a small profit, Democrats and Republicans united in the desire to prevent a repeat.

But nearly nine years since the crisis, there’s no agreement on how to accomplish that goal.

 

Source: Los Angeles Times

Leave a Reply

%d bloggers like this:
A DAILY ROUNDUP OF THE MOST FASCINATING WALL ST, COMPLIANCE AND REGULATORY NEWS.