Tags » Too Big To Fail
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To illustrate this point, a colleague and I at the FDIC have constructed the Global Capital Index, which shows the tangible capital levels for each of the largest global banking firms and the average levels for different size groups of US banks.
The major congressional response to the Financial Crisis was the passage of the Dodd-Frank Act in 2010, putting many restrictions on U.S. financial institutions in hopes of ending “too big to fail.” The problem is that the new regulations often apply to the many low risk, traditional, main street banks which did not cause the financial crisis. 277 more words
In Rethinking Economics: secular stagnation I introduced the idea that the asset risk preference of savers, as well as the aggregate level of saving, is important in keeping growth of GDP at potential. 1,109 more words